Malaysian palm oil price slips during first half of May
1 RM (Malaysian Ringgit) = 0.23 USD*
1 USD = 0.75 GBP
*Note, exchange rates are for May 28, 2025
The Malaysia Crude Palm Oil settlement price remained under pressure during the first half of May with values slipping to lows last seen in September 2024. The price began the month at RM3,918/tonne (US$901) which was 11.3% less than the month before. That proved to be the highest price of the first part of the month, with values continuing to slide.
The lowest price of the month was on the 7th May at RM3,731/tonne (US$858), a 4.8% drop on the month to date, down 8.2% in a month and 1.9% lower than the year before. The price was 47.5% lower than the all-time high of RM7,104/tonne (US$1,633) set in April 2022.
Malaysia CPO Settlement Price RM
Analysis: Malaysian palm production, exports and stocks jump in April
There was a significant increase in Malaysian palm oil production and exports during April, according to the Malaysian Palm Oil Board.
Crude palm oil production was 21.5% or 298,000 tonnes higher at 1.69 million tonnes, with a 21.4% increase in palm kernel production to 409,000 tonnes. Crude palm kernel oil output was 17.8% higher at 176,000 tonnes, while palm kernel cake production rose 11.7% to 192,000 tonnes.
Plam oil exports rose 9.6% in April to 1.10 million tonnes and palm kernel oil exports were up 77.0% to 99,000 tonnes. There were also increases in palm kernel cake, palm oil chemical and palm oil biodiesel exports.
Despite the increase in exports, the greater volume of output meant that stocks rose significantly, with total oil stocks up 19.4% to 1.864 million tonnes, which consisted of a 34.8% increase in crude palm oil stocks to 1.050 million tonnes and a 4.0% increase in refined palm oil stocks to 814,000 tonnes.
Malaysia builds links with Kenyan palm oil industry
Malaysia is engaging with Kenya to explore ways of developing its palm oil industry to the mutual benefit of both. This included a recent visit by Malaysian Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani to Kenyan capital Nairobi where he took part in a roundtable discussion with representatives of the Kenyan oils and fats industry. The talks focused on improving logistics, supply chain efficiency and supportive policy frameworks.
“One of the most pressing issues raided was the high cost of logistics in the region, which can increase the price of palm-based products by up to 40% due to lengthy transport times to landlocked countries within East Africa,” Johari said.
He added that Malaysia is open to working with the Kenyan palm oil industry to help it develop most efficient systems, saying:
“If we can find the right solution, this sector holds great potential. This knowledge-sharing can help increase productivity and efficiency within Kenya’s domestic industry.”
Johari extended an invitation to members of Kenyan’s palm oil industry to visit Malaysia and see its systems first-hand.
Disclaimer: The information in this document has been obtained from or based upon sources believed to be reliable and accurate at the time of writing. The document should be for information purposes only and is not guaranteed to be accurate or complete.