25.06.202604:12:31UTC+00Palm Oil Slides to One-Week Low

Malaysian palm oil futures fell nearly 2% to below MYR 4,600 per tonne, hitting a one-week low and bringing week-to-date losses to more than 2%. Sentiment weakened on the back of a stronger ringgit and softer edible oil prices on the Dalian and Chicago exchanges. At the same time, crude oil prices eased toward pre-conflict levels, undermining palm oil’s competitiveness and its appeal as a biofuel feedstock. Additional pressure came after Malaysia lowered its July crude palm oil reference price, though the export duty was maintained at 10%.

Even so, the downside was limited by solid export demand. Cargo surveyor estimates show that shipments for June 1–20 rose by 19.1%–25% from the same period in May. Supply concerns also persisted as El Niño continued to restrain output. In Indonesia, the world’s top producer, the B50 biodiesel mandate is set to begin on July 1, which could further lift domestic consumption. Meanwhile, India’s palm oil imports in June are expected to exceed 600,000 tonnes, up from 549,356 tonnes in May, highlighting sustained demand from the world’s largest buyer.