PALMOILMAGAZINE, JAKARTA – Indonesia’s domestic crude palm oil (CPO) price declined on Friday (July 3, 2026), mirroring continued weakness in Malaysian palm oil futures as expectations of higher production and larger inventories continued to weigh on global market sentiment.
According to data compiled by Palmoilmagazine.com from PT Kharisma Pemasaran Bersama Nusantara (KPBN), the domestic CPO reference price was set at IDR 15,485 per kilogram, down IDR 60 per kilogram, or 0.39%, from IDR 15,545 per kilogram recorded on Thursday (July 2).
By delivery point, Franco Dumai CPO was priced at IDR 15,485/kg, FOB Talang Duku CPO at IDR 15,285/kg, and Franco Teluk Bayur CPO at IDR 15,355/kg.
Also Read: Indonesia’s Palm Oil Stocks Edge Lower as Biodiesel Consumption Accelerates
Meanwhile, crude palm kernel oil (CPKO) under the FOB Palembang scheme was quoted at IDR 29,100 per kilogram.
In the palm kernel segment, palm kernel (PK) at Loco PKS Bunut was priced at IDR 12,772/kg. The Loco PKS Talang Lebar tender was listed as withdrawn (WD), with the highest bid reaching IDR 11,600/kg.
In the global market, Malaysian palm oil futures also remained under pressure on Friday as traders continued to assess the outlook for stronger production and rising inventories, factors that have weighed on prices throughout the week.
Also Read: Indonesia Cuts July 2026 CPO Reference Price to USD 1,000.90 per Ton Amid Weak Global Demand
Reuters reported that the benchmark September 2026 CPO futures contract on the Bursa Malaysia Derivatives Exchange fell RM7 per metric ton, or 0.16%, to RM4,499 per metric ton during the midday trading session. The benchmark contract has now declined approximately 1.4% over the course of the week.
The broader vegetable oil market also added downward pressure. On China’s Dalian Commodity Exchange, the most active soybean oil contract slipped around 0.2%, while the benchmark palm oil contract fell a steeper 0.95%, highlighting continued bearish sentiment across the edible oils complex.
Meanwhile, trading on the Chicago Board of Trade (CBOT) was closed on Friday in observance of the U.S. Independence Day holiday, leaving global vegetable oil markets without direction from U.S. futures.
Market participants are now awaiting Malaysia’s upcoming production, export, and inventory data, which are expected to serve as key catalysts for palm oil prices in the coming week. Investors will also closely monitor demand from major importing countries, particularly India and China, as consumption trends in these markets will play an important role in shaping the global palm oil supply-demand balance. (P3)
