# Palm oil supplies to remain tight for next 2-3 months - Markets - Business Recorder

> KLK chairman Lee Oi Hian says palm oil supplies will stay tight for two to three months after floods hit yields in Indonesia and Malaysia, especially Sabah. He expects production to recover in the second half of the year, though output growth has slowed in both countries due to ageing trees.

- Date: 2025-02-26 · published 2025-02-26T12:00:00.000Z
- Category: weather · region Malaysia · magnitude medium
- Page: https://feedsoft.ai/events/26150-palm-oil-supplies-to-remain-tight-for-next-2-3-months-markets-business-recorder
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Flood-related tightness supports palm prices and its premium over rival oils in the near term, before expected recovery later in the year.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2020-11-04 | [Palm oil climbs to near 10-month high on tight supply outlook - Markets - Business Recorder](https://feedsoft.ai/events/50253-palm-oil-climbs-to-near-10-month-high-on-tight-supply-outlook-markets-business.md) | +6.0% | +10.9% |
| PALMOIL | 2021-10-25 | [Palm rebounds on tight supply concerns, rival oil strength - Markets - Business Recorder](https://feedsoft.ai/events/44664-palm-rebounds-on-tight-supply-concerns-rival-oil-strength-markets-business.md) | +0.3% | +1.2% |
| PALMOIL | 2020-07-21 | [Palm oil bounces back, hovers near 5-month high on supply concerns - Markets - Business Recorder](https://feedsoft.ai/events/52202-palm-oil-bounces-back-hovers-near-5-month-high-on-supply-concerns-markets.md) | +0.4% | +8.7% |
| PALMOIL | 2020-10-23 | [Palm oil flat, logs 2pc weekly rise on supply worries - Markets - Business Recorder](https://feedsoft.ai/events/50739-palm-oil-flat-logs-2pc-weekly-rise-on-supply-worries-markets-business-recorder.md) | +0.7% | +14.3% |
| PALMOIL | 2020-10-06 | [Palm oil jumps over 3pc - Markets - Business Recorder](https://feedsoft.ai/events/50743-palm-oil-jumps-over-3pc-markets-business-recorder.md) | +7.8% | +8.5% |

## Sources

- brecorder.com: https://www.brecorder.com/news/40350002

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