# Rally in palm oil is ‘red hot’ on biofuel demand - Taipei Times

> Dorab Mistry said palm oil's rally will accelerate as biofuel demand rises while output falls. He forecast benchmark futures could reach 2,700 ringgit a tonne by March, and said the market has begun rationing supplies through higher prices. He cited Indonesia's B30 program as the main catalyst.

- Date: 2019-11-02 · published 2019-11-02T12:00:00.000Z
- Category: policy · region Indonesia · magnitude medium
- Page: https://feedsoft.ai/events/4289-rally-in-palm-oil-is-red-hot-on-biofuel-demand-taipei-times
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Biodiesel demand is pulling supply away from feed and food uses, which keeps vegetable oil prices firm. Higher palm oil costs feed through to the price of oil-based feed ingredients.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| PALMOIL | 2019-11-06 | 5 | +14.0% | 5.9 | Mistry's 'red hot' rally call on Indonesian B30 biofuel demand and falling output (2,700 ringgit target) boosted bullish sentiment and demand expectations. |
| PALMOIL | 2019-11-04 | 5 | +13.0% | 6.4 | This is a re-publication of the Mistry rally call, with the same B30 demand and supply-tightness sentiment, so it adds little independent information. |

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2019-11-01 | [Rally in palm oil 'red hot, ' analyst says \| The Star](https://feedsoft.ai/events/4284-rally-in-palm-oil-red-hot-analyst-says-the-star.md) | +12.8% | +16.7% |
| PALMOIL | 2024-11-07 | [Indonesia confident palm oil production can be increased to meet biofuel demand \| Reuters](https://feedsoft.ai/events/8037-indonesia-confident-palm-oil-production-can-be-increased-to-meet-biofuel-demand.md) | +0.4% | +1.8% |
| PALMOIL | 2026-06-30 | [How Rising Biofuel Demand Impacts Vegetable Oil Markets](https://feedsoft.ai/events/18889-how-rising-biofuel-demand-impacts-vegetable-oil-markets.md) | -0.5% | +0.3% |
| PALMOIL | 2026-10-27 | [Rising biofuel demand tightens US soybean oil supplies, puts pressure on industrial users - BioEnergy Times](https://feedsoft.ai/events/503-rising-biofuel-demand-tightens-us-soybean-oil-supplies-puts-pressure-on.md) | +0.8% | — |
| PALMOIL | 2026-04-22 | [Malaysia's palm oil-based biodiesel push to add 300,000 tpy in demand](https://feedsoft.ai/events/15480-malaysia-s-palm-oil-based-biodiesel-push-to-add-300-000-tpy-in-demand.md) | -0.0% | -0.2% |
| SBO | 2019-11-01 | [Rally in palm oil 'red hot, ' analyst says \| The Star](https://feedsoft.ai/events/4284-rally-in-palm-oil-red-hot-analyst-says-the-star.md) | +2.2% | -1.1% |
| SBO | 2026-06-30 | [How Rising Biofuel Demand Impacts Vegetable Oil Markets](https://feedsoft.ai/events/18889-how-rising-biofuel-demand-impacts-vegetable-oil-markets.md) | +1.3% | +1.8% |
| SBO | 2026-10-27 | [Rising biofuel demand tightens US soybean oil supplies, puts pressure on industrial users - BioEnergy Times](https://feedsoft.ai/events/503-rising-biofuel-demand-tightens-us-soybean-oil-supplies-puts-pressure-on.md) | -0.5% | — |

## Sources

- taipeitimes.com: https://www.taipeitimes.com/News/biz/archives/2019/11/03/2003725138

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