Malaysian palm oil futures eased to around MYR 4,580 per tonne on Tuesday, giving back gains from the previous session as trade resumed after the Eid holiday, pressured by weakness in edible oils on the Dalian exchange. Market sentiment turned more cautious, with participants bracing for continued volatility across global edible oil markets.
Expectations for stronger biodiesel demand have been supported by energy supply disruptions in the Middle East, but uneven buying from key importing countries has cast uncertainty over the broader demand outlook. Even so, downside pressure was limited by a weaker ringgit and speculation that top producer Indonesia could raise its palm oil export taxes in April.
Recent data also pointed to improving export demand. Cargo surveyor estimates show that shipments for March 1–15 jumped by about 43.5%–56.9% from the previous month, driven largely by festive-related buying. In India, the world’s largest palm oil consumer, imports climbed 11% in February to their highest level in six months, helped by palm oil’s continued price advantage over rival vegetable oils.
