# Palm oil prices to stay high next year on Southeast Asia drought

> Palm oil prices are expected to stay high into next year as dry weather affects output in key Southeast Asian production areas. Demand for biodiesel is also rising, according to market analysts.

- Date: 2026-10-22 · published 2026-10-22T12:00:00.000Z
- Category: weather · region Southeast Asia · magnitude medium
- Page: https://feedsoft.ai/events/523-palm-oil-prices-to-stay-high-next-year-on-southeast-asia-drought
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Reduced palm yields from drought tighten global vegetable oil supply, supporting prices. Rising biodiesel demand adds further support.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2023-12-01 | [CPO prices to rise to US$850/tonne or higher next year](https://feedsoft.ai/events/33279-cpo-prices-to-rise-to-us-850-tonne-or-higher-next-year.md) | -3.0% | -2.4% |
| 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 | 2026-04-29 | [Indonesia 2026 crude palm oil output to fall due to El Nino, high fertiliser prices, association says \| The Star](https://feedsoft.ai/events/19818-indonesia-2026-crude-palm-oil-output-to-fall-due-to-el-nino-high-fertiliser.md) | +2.8% | -1.1% |
| PALMOIL | 2024-10-25 | [Malaysia’s palm oil surge: What’s driving prices to biggest highs since 2022?](https://feedsoft.ai/events/4981-malaysia-s-palm-oil-surge-what-s-driving-prices-to-biggest-highs-since-2022.md) | +9.4% | +8.3% |
| PALMOIL | 2024-10-24 | [Palm oil reaches highest since 2022, adding to food price risks](https://feedsoft.ai/events/27955-palm-oil-reaches-highest-since-2022-adding-to-food-price-risks.md) | +0.5% | +9.7% |

## Sources

- asia.nikkei.com: https://asia.nikkei.com/business/markets/commodities/palm-oil-prices-to-stay-high-next-year-on-southeast-asia-drought

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