EU demand for palm oil continues to decline

Between July 2025 and early March 2026, the EU imported less palm oil than in the same period the previous year, reflecting a general decline in consumption within the Union. The German Union for the Promotion of Oilseeds and Cereals (UFOP) attributes this to the planned exemption, already implemented by some Member States, from the offsetting of palm oil-derived biofuels towards their national quota commitments for 2030.

According to the latest data from the European Commission, between 1 July 2025 and 3 March 2026, the EU imported a total of 1.9 million tonnes of palm oil from abroad, slightly down from nearly 2.0 million tonnes in the same period the previous year. Between July 2023 and March 2024, the EU imported approximately 2.4 million tonnes of this tropical oil.

Indonesia remains the leading supplier of agricultural products, with shipments of 597,000 tonnes, although its shipments from July to early March were 8% lower than the same period last year. Malaysia, the second-largest supplier, contributed approximately 4% more, supplying 484,000 tonnes. Guatemala also increased its shipments to the EU market by approximately 5%, supplying 282,000 tonnes. Papua New Guinea shipped approximately 17% less. The decline in shipments from Honduras was even more pronounced, falling approximately 36% compared to last year.

The decline in palm oil imports into the EU continues a trend in recent years, which began with the exclusion of palm oil-based biofuels from the carbon credit scheme in 2030. Some EU member states have already completed the crediting process early, thereby reinforcing this trend. However, the Union warns that there are risks from importing palm oil wastewater (POME), which can also be used as a feedstock for processing.

Tags: EU, prices, palm oil