Malaysia’s December 2026 CPO futures contract rose RM18 to RM4,700 per ton on Wednesday (Oct. 14), while palm oil exports for Oct. 1–10 increased 33.51%–37.73%, according to Intertek and Amspec Agri. Malaysia’s September stocks, however, climbed 24.54% to 3.51 million tons.
PALMOILMAGAZINE, JAKARTA — Malaysian palm oil futures extended their gains for a third consecutive session on Wednesday (Oct. 14, 2026), supported by stronger export shipments during the first 10 days of October despite a sharp increase in Malaysia’s palm oil inventories in September.
The benchmark December 2026 crude palm oil (CPO) contract on Bursa Malaysia Derivatives rose RM18 per ton to RM4,700 per ton. The October 2026 contract gained RM29 to RM4,427 per ton, while the November contract advanced RM1 to RM4,560 per ton.
Gains extended across the forward curve. The January 2027 contract increased RM23 to RM4,810 per ton, February rose RM25 to RM4,900 per ton, and March 2027 gained RM18 to RM4,978 per ton.
The gains came as Malaysia’s palm oil exports accelerated during Oct. 1–10, 2026. Data from two independent cargo surveyors showed shipments increased significantly from the corresponding period in September.
Malaysia Palm Oil Exports Jump Up to 37.73%
Amspec Agri Malaysia estimated Malaysia’s palm oil exports at 491,954 tons during Oct. 1–10, up 37.73%, or 134,760 tons, from 357,194 tons in the same period in September.
Intertek Testing Services reported an even higher shipment volume of 525,071 tons, representing a 33.51% increase, or 131,776 tons, from 393,295 tons during Sept. 1–10.
The two surveyor reports point to stronger export activity at the beginning of October, potentially providing support for palm oil prices if the momentum continues.
However, the first 10 days of export data do not necessarily indicate the full-month performance. Market participants will therefore be watching subsequent shipment estimates to determine whether stronger exports can be sustained.
Export flows remain a key indicator for assessing global palm oil demand and the broader supply-demand balance. Continued strength in shipments could help support prices, although its impact will depend on production trends and inventory levels in major producing countries.
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Malaysia Palm Oil Stocks Rise 24.54%
On the supply side, the Malaysian Palm Oil Board (MPOB) reported that Malaysia’s total palm oil stocks rose by 691,835 tons, or 24.54%, to 3.51 million tons in September 2026, from 2.82 million tons in August.
The sharp inventory increase remains a potential constraint on prices because elevated stocks indicate ample available supply. This leaves the market balancing two opposing signals: stronger exports at the start of October and substantially higher inventories at the end of September.
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The direction of prices will depend increasingly on whether export demand can absorb available supplies while production and inventory trends are monitored.
Market participants are expected to focus on upcoming trade data to assess whether stronger exports are sufficient to offset the pressure created by elevated stocks.
Physical CPO prices for October delivery in Malaysia’s South region also strengthened, rising RM30 to RM4,500 per ton.
Bursa Malaysia Trading Activity Picks Up
The price gains were accompanied by higher trading activity.
CPO futures volume increased to 124,058 lots from 109,117 lots on Tuesday (Oct. 13), while open interest rose to 335,045 contracts from 331,818 contracts.
The increase in both volume and open interest indicates stronger market participation. However, these indicators need to be assessed alongside price movements and underlying fundamentals to determine the broader market direction.
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KPBN Inacom CPO Price Rises IDR175/kg
Indonesia’s domestic CPO market also strengthened on Wednesday.
The CPO tender price at PT Kharisma Pemasaran Bersama Nusantara (KPBN) Inacom was set at IDR14,950/kg, up IDR175/kg, or 1.18%, from IDR14,775/kg on Tuesday (Oct. 13).
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The increase in the domestic tender price was broadly in line with gains in Malaysia’s CPO futures market. However, KPBN prices and Bursa Malaysia futures are based on different units, pricing mechanisms, and delivery conditions and therefore should not be compared directly.
For Indonesia’s palm oil industry, Malaysia’s export performance and futures price movements provide important market signals for regional vegetable oil supply and demand.
The sustainability of the current price rally will ultimately depend on the balance between export demand, production and inventory levels across the world’s major palm oil-producing countries. (A3)
