PALMOILMAGAZINE, JAKARTA – Crude palm oil (CPO) prices extended their upward trend on Monday (April 20, 2026), supported by a sharp rally in global crude oil prices and improving sentiment across competing vegetable oil markets.
According to Reuters, the benchmark CPO contract for July 2026 delivery on Bursa Malaysia Derivatives rose by RM34 per ton, or about 0.76%, to RM4,484 per ton during the midday trading break.
The positive trend was also reflected in the domestic market. CPO prices set by PT Kharisma Pemasaran Bersama Nusantara (KPBN) reached IDR 15,195/kg on Monday (April 20, 2026), marking an increase of IDR 95/kg or approximately 0.63% compared to the highest offer price recorded on Friday (April 17, 2026) at IDR 15,100/kg.
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Supportive sentiment also came from other vegetable oil markets. In China, the Dalian Commodity Exchange rebounded after earlier weakness. The most active soybean oil contract edged up 0.06%, while its palm oil contract gained 0.34%.
Meanwhile, on the Chicago Board of Trade, soybean oil prices rose by 0.81%, providing additional support to global palm oil prices.
On the energy front, the surge in crude oil prices emerged as a key driver. Oil prices jumped more than 5% on the day, fueled by market concerns over a potential collapse of the ceasefire between the United States and Iran, following the seizure of an Iranian cargo vessel by U.S. authorities.
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These geopolitical tensions have also disrupted global energy supply routes, particularly in the Strait of Hormuz, one of the world’s most critical oil transit chokepoints.
Higher crude oil prices have, in turn, enhanced the attractiveness of CPO as a biodiesel feedstock, boosting demand from the alternative energy sector and supporting prices in the international market.
With the combined support from energy markets and strengthening rival vegetable oils, CPO prices are expected to remain stable to firm in the near term, although ongoing geopolitical risks and global market volatility continue to pose challenges. (P3)
