Malaysia expects lower palm oil prices in 2025 due to high global output and stable demand

Accordingly, Malaysia expects crude palm oil prices to average 3,500 - 4,000 ringgit/ton in 2025, slightly lower than the expected 3,800 - 4,300 ringgit/ton this year as global palm oil supplies tighten. Malaysian crude palm oil prices in October 2024 reached a 6-month high of 4,350 ringgit/ton. Fresh fruit production is below expectations, affecting crude palm oil output in the second half of 2024, as dry weather affects the quality of young fruit. The palm oil industry is expected to grow, supported by high output due to larger harvesting areas, favorable weather conditions and sufficient labor force. In terms of exports, the world's second-largest palm oil producer is expected to grow by 2.3% in 2024 due to rising demand for crude palm oil, especially from India, Bangladesh, Germany, Iran and the Philippines. As the world's most widely used edible oil, the palm oil industry has contributed an average of 5-7% to Malaysia's gross domestic product over the past five years and ...