# Palm oil price forecast and production outlook 2026

> Fastmarkets outlines 2026 palm oil drivers, expecting Indonesian output to recover by 1.5 to 2.0 million tonnes. It warns that government land seizures of 3.3 million hectares, including oil palm area transferred to PT Agrinas, could cut 2 to 5 million tonnes of CPO output. Malaysia's planted area is stagnant and its yields are declining.

- Date: 2026-01-01 · published 2026-01-01T12:00:00.000Z
- Category: policy · region Global · magnitude medium
- Page: https://feedsoft.ai/events/15512-palm-oil-price-forecast-and-production-outlook-2026
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Possible output losses from land seizures in Indonesia and flat Malaysian supply could tighten the global palm oil balance, supporting prices against rising demand for food and fuel.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2020-08-01 | [MPOC: Palm oil price outlook revised higher](https://feedsoft.ai/events/52204-mpoc-palm-oil-price-outlook-revised-higher.md) | +9.8% | +8.6% |
| PALMOIL | 2023-03-08 | [Indonesian palm oil exports, production to fall in 2023 - GAPKI](https://feedsoft.ai/events/15745-indonesian-palm-oil-exports-production-to-fall-in-2023-gapki.md) | -4.1% | -5.5% |
| PALMOIL | 2026-01-28 | [Asian palm oil prices hit three-month high on stronger rival oils, lower production](https://feedsoft.ai/events/4664-asian-palm-oil-prices-hit-three-month-high-on-stronger-rival-oils-lower.md) | +5.4% | +2.4% |
| PALMOIL | 2025-07-31 | [Indonesia's August CPO Reference Price and Its Implications for Global Palm Oil Markets](https://feedsoft.ai/events/15543-indonesia-s-august-cpo-reference-price-and-its-implications-for-global-palm-oil.md) | +1.9% | +5.3% |
| PALMOIL | 2023-07-02 | [Palm Oil Magazine - CPO Reference Price Rises 3.19%: CPO OF and Levy on 1 - 15 July 2023 - Palm Oil Magazine](https://feedsoft.ai/events/15721-palm-oil-magazine-cpo-reference-price-rises-3-19-cpo-of-and-levy-on-1-15-july.md) | +10.3% | +12.9% |

## Sources

- fastmarkets.com: https://www.fastmarkets.com/insights/palm-oil-price-forecast-and-production-outlook-2026/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.