The palm oil prices in the Malaysia for Q4 2023 reached 810 USD/MT in December. Initially, prices declined due to surplus stock and expectations of higher production. By November, prices picked up because of factors like the thriving food and beverage (F&B) industry, along with geopolitical impacts on crude oil. As December approached, a dip in exports led to declining prices, pushing producers to reduce excess inventory.

Palm Oil decreased 155 MYR/MT or 3.49% since the beginning of 2025, 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 March of 2025.

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.

The Price of RBD Palm Oil in China for Q4 2023 reached 992 USD/MT in December. In Malaysia, RBD palm oil prices reached 812 USD/MT in December 2023.

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.

This statistic depicts the average annual prices for palm oil from 2014 through 2026*. In 2023, the average price for palm oil stood at 886 nominal U.S. dollars per metric ton.

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.

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Palm Oil Market Size 2025-2029

The palm oil market size is forecast to increase by USD 54.4 billion at a CAGR of 9% between 2024 and 2029.

The market presents a dynamic and complex landscape for global investors and businesses. Key drivers include the increasing consumer awareness and preference for palm oil due to its health benefits, particularly in food and cosmetic industries. This trend is expected to continue, providing significant growth opportunities for market participants. However, challenges persist, with concerns over deforestation and the resulting losses in plant diversity threatening the industry's sustainability and reputation. To navigate these challenges, companies must adopt responsible sourcing practices and invest in sustainable production methods. The emergence of a new growth avenue for palm oil in the biodiesel sector further underscores the market's potential. As the demand for renewable energy sources continues to rise, the integration of palm oil into the biodiesel value chain offers a strategic opportunity for market players. Companies seeking to capitalize on these trends and mitigate risks should focus on innovation, transparency, and collaboration with stakeholders to ensure long-term success.

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

Request Free SampleThe market encompasses the production and trade of palm fruits and their derived oils, including crude palm oil, RBD palm oil, palm kernel oil, and unrefined palm oil. Palm oil is a widely used edible vegetable oil, prominent in various industries such as food, cosmetics, and biodiesel. Its versatility is evident in its application in diverse products, from instant noodles and confectionery to soaps and cosmetics. The market size is substantial, with continued growth driven by increasing demand for edible oils, particularly in developing countries. Palm oil's affordability and high energy value make it a preferred choice for industries and households alike. However, concerns over sustainability and environmental impacts, such as deforestation and the conversion of tropical forests, have led to a growing focus on sustainable and organic production. Palm oil competes with other edible oils like rapeseed oil, mineral oil, and unrefined palm oil. Health-conscious consumers are increasingly seeking alternatives to palm oil due to its association with heart disease. Despite these challenges, the market remains dynamic, with ongoing research and development efforts aimed at improving production methods and addressing sustainability concerns.

How is this Palm Oil Industry segmented?

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. ApplicationEdible oilSurfactantsBio-dieselOthersTypeConventionalOrganicGeographyAPACChinaIndiaIndonesiaMalaysiaPakistanMiddle East and AfricaQatarUAEEuropeGermanyUKNorth AmericaSouth America

By Application Insights

The edible oil segment is estimated to witness significant growth during the forecast period.Palm oil is a widely used edible oil, predominantly sourced from the palm fruit and palm kernel. Palm fruit oil is primarily utilized for cooking and is a common ingredient in various food products, particularly in Asian markets. Compared to other hydrogenated oils, palm oil is considered healthier due to its lower trans fat content. The affordability of palm oil, as a vegetable oil, has also contributed to its expanding market share. With significant production volumes, palm oil plays a substantial role in the food processing sector. Its versatility extends beyond cooking, as it is also used in the production of instant noodles, oleochemicals, biodiesel fuel, and various consumer goods. The market encompasses both conventional and organic segments, with a growing emphasis on sustainable and eco-friendly production methods. The health benefits of palm oil, including its nutritional value and uses in personal care products, further underscore its importance in various industries.

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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.

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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Palm oil is a versatile vegetable oil derived from the fruits of the oil palm tree. The primary contributors to the expansion of the market in the APAC region are China, Australia, Thail

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.

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.

The size of the India 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 5.0 % during the forecast period. India is one of the largest importers of palm oil in the world, primarily sourced from countries like Indonesia and Malaysia. Palm oil is a highly versatile vegetable oil derived from the fruit of the oil palm tree and is used in a wide range of products, including cooking oil, processed foods, cosmetics, and biofuels. Palm oil is one of the most used ingredients in the food industry in India because it is inexpensive and has a long shelf life. The demand for palm oil in India has been growing rapidly, driven by population growth, urbanization, and increasing consumer preferences for processed foods. However, the large-scale import of palm oil has raised concerns about its environmental impact, particularly related to deforestation and habitat loss in palm oil-producing countries. Addressing these issues has been an on-going call for more sustainable and traceable sources of palm oil, and in this regard, India has also increasingly supported RSPO certification. Recent developments include: In May 2023, Godrej Agrovet's Oil Palm Business launched a finance offering for oil palm farmers in partnership with the State Bank of India (SBI). The product will enable farmers to obtain loans for micro irrigation facilities, fencing, and tube well improvements at their farms. , In April 2023, Baba Ramdev’s Patanjali Foods Ltd ( Ruchi Soya) pumped an investment of over USD 122 million for setting up integrated palm oil processing facilities in Telangana over the next four years. , In July 2022, The Malaysian Palm Oil Council and the Indian Vegetable Oil Producers' Association signed a memorandum of understanding (MoU) to promote palm oil usage. The MoU aims to increase collaboration in shared interests and advance Malaysian palm oil production and consumption, promoting the interests of producers, processors, users, and consumers. .

The demand for palm oil in the United States is expected to continue growing over the next decade, with the market projected to reach 2.3M tons and $2.6B in value by 2035.

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.

The global palm oil market was valued at USD 63.65 billion in 2021 and is expected to grow at a CAGR of 5.0% during the forecast period.

In July 2022, the crude palm oil price per ton stood at $1.5K (CIF, India), reducing by -14% against the previous month.

The refined soybean oil prices in the United States for Q4 2023 reached 1,436 USD/MT in December. In the USA, soybean oil prices fell, contrary to expectations of a price increase. Factors influencing this trend included weaker demand in the diesel industry and concerns about El Nino affecting palm oil production in Southeast Asia. Additionally, Brazil's policy adjustments regarding biodiesel further pressured prices downward.

In September 2022, the refined palm oil price amounted to $1,055 per ton (CIF, India), dropping by -10.1% against the previous month.

Discover the latest trends in the global crude palm oil market and projections for future growth in both volume and value terms. Learn about the expected CAGR and market volume and value by 2035.

Learn about the rising demand for palm oil in the European Union and the projected growth of the market over the next decade, with an expected increase in market volume and value by 2035.

In April 2023, the crude palm oil price amounted to $951 per ton (FOB, Thailand), increasing by 3% against the previous month.