Small recovery in Malaysian palm oil prices ends
October 16, 2026
1 RM (Malaysian Ringgit) = 0.24 USD
1 USD = 0.75 GBP
*Note: Exchange rates are for October 15, 2026
Malaysian palm oil prices rose slightly in the first half of October, but the recovery appeared to be ending by the middle of the month.
The Malaysian crude palm oil settlement price was 4,609 ringgit per metric ton ($1,106) on Oct. 15. That was down 83 ringgit ($20), or 1.8%, on the day but still 1.9% above the month’s low on Oct. 7. That price of 4,522 ringgit per metric ton ($1,085) was the lowest since July.
The latest price is 5.8% lower than a month earlier. The price reached 5,000 ringgit per metric ton ($1,200) in August for the first time since 2024. The Oct. 15 price was 3% higher than a year earlier but 35.1% below the all-time high in April 2022.
Malaysia CPO Settlement Price RM
Pressure on other vegetable oils affects palm oil
Malaysian palm oil prices slipped in the middle of the month because of weakness in crude oil and other vegetable oil prices.
Chinese vegetable oil prices fell, with palm oil down 2.1% and soybean oil down 1.7% on the Dalian exchange. Soybean oil prices in Chicago also dipped 0.6%. Crude oil prices weakened slightly after rising following attacks on Saudi Arabia. The market remains tense amid developments in the Middle East, with further price increases expected. The current crude oil price is 70% higher than a year ago.
A slightly stronger Malaysian ringgit made the country’s exports more expensive, while the government kept the export duty at 10%.
Record stocks of palm oil could provide El Niño buffer
Malaysia’s palm oil production jumped in September, with crude palm oil output reaching a yearly high of 2.117 million metric tons, up 16.5% from August, which had also set a high for the year. Palm kernel production rose 18.2%, with gains in palm kernel oil and cake production as well.
The jump in production and a drop in exports brought total palm oil stocks to a record 3.511 million metric tons, a 24.5% increase from August. Crude palm oil stocks were almost a third higher in September than in August.
Palm oil exports fell 12.1% from August to 1.12 million metric tons in September, while palm kernel oil shipments fell 34.1%. Biodiesel exports dropped sharply.
Although high stocks will concern Malaysian oil producers, they could provide a buffer if the El Niño weather system disrupts production in the coming months, as expected.
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.