Malaysia's MPOB anticipates improved palm oil exports from CNY restocking, despite elevated inventories hitting 6-1/2-year highs at 2.84M tons in November. Production set to exceed 20M tons in 2025 for the first time, with stocks potentially topping 3M tons if exports lag.
Malaysia's MPOB anticipates improved palm oil exports from CNY restocking, despite elevated inventories hitting 6-1/2-year highs at 2.84M tons in November. Production set to exceed 20M tons in 2025 for the first time, with stocks potentially topping 3M tons if exports lag.
Market Outlook
Malaysian Palm Oil Board (MPOB) signals a mixed outlook: robust production growth meets softening demand pressures, with inventories climbing further by end-December. CNY preparations could spark export recovery, balancing high stocks and offering price stabilization cues for global edible oil markets.
Key Highlights
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Export Rebound Expected: Restocking for Chinese New Year to lift demand, countering recent weakness.[web:previous]
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Inventory Alert: November stocks at 2.84M tons (6-1/2-year high); could surpass 3M tons without stronger exports.
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Production Milestone: 2025 output projected over 20M metric tons, first time ever, driven by yield gains.
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Stock Buildup: End-Dec inventories to rise from November peak, pressuring prices short-term.
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Global Implications: Higher Malaysian supply may ease edible oil shortages, impact soy, sunflower rivals.
Sources: Reuters (RTRS), Malaysian Palm Oil Board (MPOB).