# Palm Oil Prices to Drop as Production Rebounds, Demand Slows

> Analysts at a Kuala Lumpur conference forecast that a rebound in Southeast Asian palm oil output will push prices lower in the second half of the year. Bursa Malaysia crude palm oil futures fell to their lowest since early November, with the main contract hitting 2,821 ringgit a tonne. Three industry analysts expect prices to decline by year-end or early 2018, with Mistry projecting a fall to about 2,500 ringgit by June-July.

- Date: 2017-03-09 · published 2017-03-09T12:00:00.000Z
- Category: weather · region Southeast Asia · magnitude medium
- Page: https://feedsoft.ai/events/72110-palm-oil-prices-to-drop-as-production-rebounds-demand-slows
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Rising output from Indonesia and Malaysia alongside slowing Indian and Chinese demand points to softer vegetable oil prices, which weighs on palm oil and competing soybean oil values used in feed fat blends.

## Read by commodity

- SBO: bearish ▼
- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2017-10-04 | [Palm oil production to revive following departure of El Niño](https://feedsoft.ai/events/5643-palm-oil-production-to-revive-following-departure-of-el-nino.md) | +0.9% | +2.8% |
| PALMOIL | 2017-06-03 | [Palm oil production to rise in Indonesia \| Borneo Post Online](https://feedsoft.ai/events/70368-palm-oil-production-to-rise-in-indonesia-borneo-post-online.md) | -1.0% | -1.1% |
| PALMOIL | 2017-05-21 | [Palm oil production to rise in Indonesia - Oxford Business Group](https://feedsoft.ai/events/71097-palm-oil-production-to-rise-in-indonesia-oxford-business-group.md) | -0.3% | -3.9% |
| PALMOIL | 2017-08-16 | [Bumper crops weighing on palm oil prices in Southeast Asia - Nikkei Asia](https://feedsoft.ai/events/69557-bumper-crops-weighing-on-palm-oil-prices-in-southeast-asia-nikkei-asia.md) | +1.6% | +10.0% |
| PALMOIL | 2024-06-12 | [CPO production projected to increase – MPOC](https://feedsoft.ai/events/15640-cpo-production-projected-to-increase-mpoc.md) | -0.3% | +0.8% |
| SBO | 2018-03-21 | [Oilseeds prices rebound on Argentina, Malaysia dryness](https://feedsoft.ai/events/10260-oilseeds-prices-rebound-on-argentina-malaysia-dryness.md) | -0.5% | -1.0% |
| SBO | 2017-05-21 | [Palm oil production to rise in Indonesia - Oxford Business Group](https://feedsoft.ai/events/71097-palm-oil-production-to-rise-in-indonesia-oxford-business-group.md) | -4.4% | -0.7% |
| SBO | 2026-10-20 | [Record sunseed crop in Russia drives down seed, oil and meal prices](https://feedsoft.ai/events/17204-record-sunseed-crop-in-russia-drives-down-seed-oil-and-meal-prices.md) | +0.2% | — |

## Sources

- jakartaglobe.id: https://jakartaglobe.id/international/palm-oil-prices-drop-production-rebounds-demand-slows/

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