Gapki estimates Indonesian palm oil output will fall 2.9% to 56.8 million tonnes in 2027 because prolonged dry weather disrupted plantation maintenance. Fertiliser prices rose about 30% in the second half of 2026 due to Middle East conflict.
Lower Indonesian output and higher fertiliser costs tighten palm supply outlook, supporting vegetable oil prices and feed-ingredient alternatives.
After 181 past bullish weather events, Palm Oil moved a median +0.5% over 5 sessions (56% higher; middle half -0.9% to +1.9%), and +0.3% over 20.
After 30 past bullish weather events, Urea moved a median +1.4% over 5 sessions (67% higher; middle half -0.3% to +1.6%), and +9.1% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.