# Palm oil prices to weaken in 2026, biofuel policy clarity crucial: survey | S&P Global

> A Platts survey of analysts, traders and government agencies expects Malaysian palm oil futures to average MR4,200/mt in 2026, below the 2025 average of MR4,236.70. The softer outlook rests on rising supplies from Indonesia and Malaysia, partly offset by robust domestic biodiesel demand in Indonesia. Forecasters say clarity on biofuel policy will be important.

- Date: 2026-01-06 · published 2026-01-06T12:00:00.000Z
- Category: report · region Global · magnitude low
- Page: https://feedsoft.ai/events/21159-palm-oil-prices-to-weaken-in-2026-biofuel-policy-clarity-crucial-survey-s-and-p
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

A forecast of lower palm prices in 2026 suggests cheaper vegetable oil supplies for feed buyers, though biodiesel policy changes could shift that outlook. Supply growth is the key bearish driver.

## Read by commodity

- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2018-04-14 | [Global Palm Oil Prices To Plummet Due To Over-Supply - Brand Spur](https://feedsoft.ai/events/65608-global-palm-oil-prices-to-plummet-due-to-over-supply-brand-spur.md) | +0.0% | -3.7% |
| PALMOIL | 2017-06-26 | [In 2017 global palm oil production will rise by 7 million tonnes.](https://feedsoft.ai/events/70589-in-2017-global-palm-oil-production-will-rise-by-7-million-tonnes.md) | +0.1% | +3.2% |
| PALMOIL | 2018-11-02 | [Global food prices dip in October amid declines in dairy and sluggish palm oil demand](https://feedsoft.ai/events/6993-global-food-prices-dip-in-october-amid-declines-in-dairy-and-sluggish-palm-oil.md) | -1.9% | -5.0% |
| PALMOIL | 2024-03-27 | [Fitch: Higher global vegetable oil supply to drag CPO prices lower in Q2 \| Malay Mail](https://feedsoft.ai/events/31287-fitch-higher-global-vegetable-oil-supply-to-drag-cpo-prices-lower-in-q2-malay.md) | +3.8% | -2.1% |
| PALMOIL | 2018-10-03 | [Long-term demand to offset weaker prices for palm oil, says Moody's \| The Star](https://feedsoft.ai/events/7619-long-term-demand-to-offset-weaker-prices-for-palm-oil-says-moody-s-the-star.md) | +1.6% | +1.4% |

## Sources

- spglobal.com: https://www.spglobal.com/energy/en/news-research/latest-news/agriculture/010626-palm-oil-prices-to-weaken-in-2026-biofuel-policy-clarity-crucial-survey

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