# Palm oil prices to increase as global supply squeezed - Biofuels International Magazine

> The Council of Palm Oil Producing Countries said palm oil prices will keep rising in the first half of 2021 as heavy rainfall in Southeast Asia keeps global supply tight until the first quarter. It expects output to recover in the second half of 2021 as high prices encourage better management. The council also flagged structural supply constraints from slower new plantings in Indonesia and Malaysia.

- Date: 2020-12-02 · published 2020-12-02T12:00:00.000Z
- Category: weather · region Global · magnitude medium
- Page: https://feedsoft.ai/events/49760-palm-oil-prices-to-increase-as-global-supply-squeezed-biofuels-international
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Persistent weather-related supply disruption and limited new planting support palm oil prices into 2021. The expected tightness also supports demand switching from other vegetable oils, given the deficits in soy, sunflower and rapeseed oil.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2026-10-01 | [El Niño Set to Crimp Palm Oil Output in 2027, Squeezing Supply](https://feedsoft.ai/events/17546-el-nino-set-to-crimp-palm-oil-output-in-2027-squeezing-supply.md) | -5.8% | -3.8% |
| PALMOIL | 2025-06-28 | [Palm Oil News - CPO Prices Fluctuate Due to Global Market Uncertainty](https://feedsoft.ai/events/24319-palm-oil-news-cpo-prices-fluctuate-due-to-global-market-uncertainty.md) | +2.5% | +5.5% |
| PALMOIL | 2016-11-24 | [Lower palm oil output into early next year likely to support prices - The Business Times](https://feedsoft.ai/events/6694-lower-palm-oil-output-into-early-next-year-likely-to-support-prices-the.md) | +3.8% | +5.0% |
| PALMOIL | 2026-07-23 | [Malaysian palm oil closes higher on supply squeeze concerns - Markets - Business Recorder](https://feedsoft.ai/events/18444-malaysian-palm-oil-closes-higher-on-supply-squeeze-concerns-markets-business.md) | +0.4% | +4.5% |
| PALMOIL | 2023-11-08 | [Concerns about Supply Disruptions Due to the El Nino Phenomenon and Expectations of Increased Demand Pushing Up Prices](https://feedsoft.ai/events/33280-concerns-about-supply-disruptions-due-to-the-el-nino-phenomenon-and.md) | +2.5% | +0.2% |

## Sources

- biofuels-news.com: https://biofuels-news.com/news/palm-oil-prices-to-increase-as-global-supply-squeezed/

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