Malaysian palm oil futures fell on Thursday

According to cargo valuation firm AmSpec Agri Malaysia, Malaysia’s palm oil exports from April 1 to 30 fell 16% month-on-month to 1,346,859 metric tons. Kenanga Futures noted in a note that there were no new demand signals from key importing countries. Higher oil prices, amid concerns about renewed US military action against Iran and the prolonged blockade of the Strait of Hormuz, likely limited losses in the vegetable oil market.

Malaysian palm oil futures fell on Thursday amid lower crude prices and profit-taking ahead of the long weekend.

The benchmark palm oil futures contract FCPO1 for July delivery on the Bursa Malaysia Derivatives Exchange fell 5 ringgit, or 0.11%, to 4,573 ringgit ($1,151.89) per metric ton at the close of trading.

Futures are down 0.52% for the week.

The market will be closed on Friday, May 1, for a public holiday. The most active Dalian soybean oil contract rose 0.64%, while the Dalian palm oil contract rose 0.99%. Soybean oil prices on the Chicago Board of Trade fell 0.58%.

Palm oil tracks the price movements of competing edible oils as it competes for share of the global vegetable oil market.

According to independent inspection company AmSpec Agri Malaysia, Malaysian palm oil product exports fell 16.2% in April compared to March, while cargo inspector Intertek Testing Services reported a 15.3% decline.

Indonesia’s crude palm oil production this year could fall by 2 million tonnes compared to 2025 levels due to El Niño-related dry weather and high fertilizer prices caused by the war in the Middle East, the head of the country’s palm oil industry association said on Wednesday.

Indonesia set the benchmark price for crude palm oil for May at $1,049.58 per metric tonne, down from $989.63 in April, the Commerce Ministry said in a ruling issued on Thursday.

The ringgit weakened 0.43% against the dollar, making goods cheaper for buyers holding foreign currencies.

Tags: prices, Malaysia, palm oil