Malaysian palm oil futures climbed about 1.8% to just above MYR 4,700 per tonne, extending gains to a one-month high. Sentiment was supported by strength in rival edible oils on the Dalian and Chicago exchanges, alongside a sharp rise in crude oil prices amid ongoing tensions in the Middle East. The outlook for biodiesel feedstock also improved, as higher blending mandates in Indonesia and Malaysia are expected to limit export availability.
Demand prospects in India, the world’s largest consumer, strengthened after industry officials projected higher edible oil imports between July and October, with tighter domestic supplies ahead of the festival season likely to boost palm oil purchases. Weather-related risks added further support after Malaysia’s meteorological agency warned that record-high temperatures could weigh on output next year. Export data from cargo surveyors for July 1–20 were mixed: AmSpec Agri Malaysia reported a 0.9% decline in shipments from June, while Intertek Testing Services estimated a 4.1% increase.
