Palm Oil rose to 4,134 MYR/T on December 2, 2025, up 1.00% from the previous day. Over the past month, Palm Oil's price has risen 0.46%, but it is still 18.56% lower than a year ago, according to trading on a contract for difference (CFD) that tracks the benchmark market for this commodity. Palm Oil - values, historical data, forecasts and news - updated on December of 2025.

India's refined palm oil price sees a slight increase, now at $997 per ton. Stay updated on the latest commodity market trends with our comprehensive news coverage.

While Indonesia plans to expand the production and struggles with the EU ban on using palm oil as a biofuel, Malaysia faces an acute shortage of workers due to the guest workers outflow after the pandemic. Despite the problems in these two countries producing 85% of the total palm oil, the global demand remains due to the main importers, China and India.

The size of the Indonesia Palm Oil Market was valued at USD XX Million in 2023 and is projected to reach USD XXX Million by 2032, with an expected CAGR of 4.4 % during the forecast period. Recent developments include: On December 2023, First Resources, a major palm oil producer, acquired plantation assets in Indonesia. This acquisition marks a significant move in the company’s expansion strategy and further solidifies its position in the palm oil industry. , On September 2023, Unilever partnered with a government-owned Indonesian palm oil plantation, PT. Perkebunan Nusantara III (Persero), to accelerate sustainable palm oil production in Indonesia. This collaboration aims to improve transparency in the supply chain and make sustainable palm oil more mainstream. , On February 2023, Fastmarkets acquired Palm Analytics, a Singaporean company specializing in prices, data, and news on palm oils and its derivatives. This acquisition allows Fastmarkets to expand its coverage of the market and provide its customers with a more comprehensive suite of services. .

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Palm Oil Market Size 2025-2029

The palm oil market size is valued to increase USD 54.4 billion, at a CAGR of 9% from 2024 to 2029. Increasing consumer awareness regarding health benefits of palm oil will drive the palm oil market.

Major Market Trends & Insights

APAC dominated the market and accounted for a 73% growth during the forecast period.
By Application - Edible oil segment was valued at USD 54.00 billion in 2023
By Type - Conventional segment accounted for the largest market revenue share in 2023

Market Size & Forecast

Market Opportunities: USD 92.90 billion
Market Future Opportunities: USD 54.40 billion
CAGR : 9%
APAC: Largest market in 2023

Market Summary

The market encompasses the production, refining, and distribution of palm oil and its derivatives. This dynamic market is driven by the increasing demand for palm oil in core applications, such as food, cosmetics, and biodiesel. According to recent reports, the food industry accounts for approximately 65% of palm oil consumption, with the biodiesel sector emerging as a significant growth avenue. However, the market faces challenges from environmental concerns, particularly regarding deforestation and plant diversity losses. In 2020, it was estimated that around 10 million hectares of forest were lost due to palm oil cultivation. Despite these challenges, opportunities for sustainable production and innovative technologies continue to unfold, ensuring the market remains a vital and evolving sector in the global economy.

What will be the Size of the Palm Oil Market during the forecast period?

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How is the Palm Oil Market Segmented and what are the key trends of market segmentation?

The palm oil industry research report provides comprehensive data (region-wise segment analysis), with forecasts and estimates in 'USD billion' for the period 2025-2029, as well as historical data from 2019-2023 for the following segments.

Application

  Edible oil
  Surfactants
  Bio-diesel
  Others


Type

  Conventional
  Organic


Geography

  Europe

    Germany
    UK


  Middle East and Africa

    Qatar
    UAE


  APAC

    China
    India
    Indonesia
    Malaysia
    Pakistan


  Rest of World (ROW)

By Application Insights

The edible oil segment is estimated to witness significant growth during the forecast period.

Palm oil, a widely used edible oil, holds significant importance in various industries, particularly in Asia. Approximately 45% of global palm oil production is attributed to palm fruit oil, primarily used in food processing due to its lower trans fat content and cost-effectiveness. Palm kernel oil, the other form, accounts for around 25% of the production. The food sector's reliance on palm oil is increasing, with an estimated 67% of its usage in food manufacturing. Moreover, the environmental impact of palm oil production is a growing concern. To address this, initiatives focusing on deforestation monitoring, water use efficiency, extraction rate optimization, and carbon footprint reduction are gaining traction.

The industry is also investing in soil nutrient management, palm oil byproducts utilization, and traceability systems to enhance supply chain transparency. The market's future growth is promising, with an anticipated 20% increase in demand for palm oil byproducts in the next five years. Additionally, there is a rising trend towards sustainable palm oil production, with RSPO certification becoming increasingly common. Oil palm cultivation is also evolving, with the adoption of high-yielding varieties, integrated pest management, and oil palm genetics. In terms of production processes, improvements in palm oil fractionation, fertilizer application techniques, biodiesel production, and irrigation efficiency are essential for maintaining competitiveness.

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The Edible oil segment was valued at USD 54.00 billion in 2019 and showed a gradual increase during the forecast period.

Furthermore, biomass utilization and palm oil refining are being explored to minimize waste and optimize resource utilization. Smallholder farmers are also receiving support to improve their productivity and sustainability through various initiatives. These efforts aim to ensure the long-term viability of the palm oil industry while minimizing its environmental impact.

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Regional Analysis

APAC is estimated to contribute 73% to the growth of the global market during the forecast period. Technavio's analysts have elaborately explained the regional trends and drivers that shape the market during the forecast period.

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The market in the Asia Pacific (APAC) region experiences significant growth, driven by the expanding economies of China, Australia, Thailand, South Ko

This statistic depicts the average annual prices for palm oil from 2014 through 2027*. In 2025, the average price for palm oil stood at 1,020 nominal U.S. dollars per metric ton.

In May 2023, the price of Crude Palm Oil reached $1,074 per ton (CIF, United Kingdom), showing a decrease of -3.3% compared to the previous month.

Learn about the expected growth of the palm oil market in China over the next decade, driven by rising demand. Forecasts predict a steady increase in market volume and value, with a projected CAGR of +1.5% and +3.0% respectively.

Learn about the increasing demand for refined palm oil in the United States and how the market is expected to grow over the next decade, with a projected volume of 9.3M tons and a value of $11.9B by 2035.

Analysis of the MENA crude palm oil market, including consumption trends, production, imports, exports, and forecasts through 2035. Key insights on Saudi Arabia's dominance and market dynamics.

Learn about the projected growth of the palm oil market over the next decade, driven by increasing global demand. Market volume is expected to reach 108M tons by 2035, with a value of $125.1B.

Discover how the demand for crude palm oil in MENA is driving market growth, with consumption expected to rise over the next decade. Market performance is forecast to slow down slightly, but still show positive growth projections.

Learn about the expected growth in the palm oil market over the next six years, driven by increasing global demand. Market volume is projected to reach 100 million tons and market value to hit $115.3 billion by 2030.

Global Palm Oil Market Overview - 2018: The global palm oil market increased from 50.0M tons in 2007 to 59.9M tons in 2016, expanding with an annual average growth rate of +4.3% per year over that period.

Okomu Oil Palm reported NGN1.14M in Interest Income for its fiscal quarter ending in March of 2025. Data for Okomu Oil Palm | OKOMUOIL - Interest Income including historical, tables and charts were last updated by Trading Economics this last December in 2025.

Find out how the demand for refined palm oil in the Middle East is driving market growth, with forecasts predicting an increase in consumption over the next decade. Market performance is expected to rise steadily, reaching 5.9M tons in volume and $8B in value by 2035.

Okomu Oil Palm reported NGN13.97B in Stock for its fiscal quarter ending in September of 2025. Data for Okomu Oil Palm | OKOMUOIL - Stock including historical, tables and charts were last updated by Trading Economics this last December in 2025.

Analysis of the EU palm oil market showing a decade-long decline in consumption, with a forecast for modest growth driven by demand. Key data on production, trade, and country-level insights for the Netherlands, Germany, and Italy.

Okomu Oil Palm reported NGN15.09 in PE Price to Earnings for its fiscal quarter ending in September of 2024. Data for Okomu Oil Palm | OKOMUOIL - PE Price to Earnings including historical, tables and charts were last updated by Trading Economics this last December in 2025.

Discover the latest projections for the global crude palm oil market, with anticipated growth in both volume and value terms over the next six-year period. A CAGR of +3.7% is forecasted for market volume, reaching 102M tons by 2030, while a CAGR of +5.9% is expected for market value, reaching $101.2B.