CPO Prices to Remain Firm Above RM4,600 in September on Supply Tightness
The Malaysian Palm Oil Council (MPOC) expects crude palm oil (CPO) prices to remain above RM4,600 per tonne in September due to tightening supply fundamentals and continued geopolitical disruptions.
CPO futures forward contracts for 2027 traded on Bursa Malaysia Derivatives were above RM5,000 per tonne as of mid-August, reflecting market concerns over the potential impact of El Nino.
Indonesia's palm oil demand for B50 biodiesel blending could strengthen further as the three-month transition period to clear remaining B40 biodiesel stocks ends in September.