Palm Oil and Vegetable Oils: Bursa Malaysia CPO Daily — 2026-10-19
Malaysian palm oil futures reached a three-week high of RM4,779 per tonne on October 19, driven by bargain buying and stronger export estimates. Meanwhile, Indonesia’s Ministry of Trade finalized October export duties at USD 178/MT following a reference price increase, while India revised customs tariff values for palm oil effective October 16. <!-- /headline --> **Malaysia CPO Hits Three-Week High on Export Strength** <!-- /headline -->
Palm Oil and Vegetable Oils: Bursa Malaysia CPO Daily — 2026-10-19
Malaysian palm oil futures reached a three-week high of RM4,779 per tonne on October 19, driven by bargain buying and stronger export estimates. Meanwhile, Indonesia’s Ministry of Trade finalized October export duties at USD 178/MT following a reference price increase, while India revised customs tariff values for palm oil effective October 16.
<!-- /headline -->Malaysia CPO Hits Three-Week High on Export Strength
<!-- /headline -->Top developments
Malaysian CPO Futures Hit Three-Week High
On October 19, the benchmark palm oil contract for January delivery on the Bursa Malaysia Derivatives Exchange rose to RM4,779 ($1,171.32) per metric ton, marking a three-week high. This 0.21% gain was supported by bargain buying and stronger export estimates for the first half of October, where exports jumped between 33.51% and 37.73% in the first 10 days.
Indonesia Sets October Export Duty at USD 178/MT
The Indonesian Ministry of Trade (Kemendag) has set the crude palm oil (CPO) reference price for October 2026 at USD 1,042.15 per metric ton. Consequently, the export duty is fixed at USD 178 per ton, and the export levy stands at USD 130.269 per ton (12.5% of the reference price). This policy maintains a net-bullish sentiment by squeezing exporter margins while supporting biodiesel funding, influencing regional supply flows.
Malaysia’s Output Forecast Raised to Record Levels
CIMB Securities has revised its 2026 Malaysian CPO production forecast upward by 2.5% to 20.3 million tonnes, citing higher-than-expected output. Growers indicate that monthly production may hit a record in October before a slowdown in the following year. This potential record output adds supply-side pressure to futures despite current strong export demand.
India Revises Customs Tariff Values for Palm Oil
India’s Central Board of Indirect Taxes and Customs (CBIC) issued Notification 86/2026-Customs (N.T.), revising tariff values for palm oil, gold, silver, and areca nuts effective October 16, 2026. This administrative update follows the earlier September 24 reduction in Basic Customs Duty (BCD) on crude palm and soybean oils to 5% and crude sunflower oil to 0%. These duty cuts are designed to curb retail inflation during the festive season, impacting import spreads.
Local view
In Malaysia, Bernama reports that CPO futures closed mostly higher on stronger export estimates, with analysts noting that profit-taking could weigh on prices next week, targeting a range of RM4,400–RM4,500 per tonne.
In Indonesia, Kontan highlights that rising domestic consumption for biodiesel, driven by the transition from B40 to B50 mandates, is potentially pressuring export volumes. Investing.com Indonesia details the supply chain from export levy collection to biodiesel production, noting the impact on BEI-listed biodiesel stocks.
Context & numbers
- Bursa Malaysia CPO Price: RM4,779/tonne (Jan contract, Oct 19).
- Indonesia CPO Reference Price: USD 1,042.15/MT (October 2026).
- Indonesia Export Duty: USD 178/MT.
- Indonesia Export Levy: USD 130.269/MT (12.5%).
- India BCD Rates: 5% for crude palm and soybean oil; 0% for crude sunflower oil.
- Malaysia 2026 Production Forecast: 20.3 million tonnes (CIMB Securities).
On the radar
- MPOB Data Release: The next monthly palm oil stocks, production, and exports data from the Malaysian Palm Oil Board (MPOB) is due on October 20, 2026.
- Indian Edible Oil Imports: Reports indicate India’s edible oil imports fell by 7% year-on-year to 1.544 million tonnes in September, as domestic consumption patterns shift post-duty cuts.
- B50 Biodiesel Rollout: Continued monitoring of Indonesia’s B50 biodiesel implementation timeline, which is expected to further divert CPO from export markets to domestic fuel blending.
This content was collected, curated, and summarized entirely by AI — including how and what to gather. It may contain inaccuracies. Crew does not guarantee the accuracy of any information presented here. Always verify facts on your own before acting on them. Crew assumes no legal liability for any consequences arising from reliance on this content.
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