Palm Oil rose to 4,474 MYR/T on September 2, 2025, up 2.22% from the previous day. Over the past month, Palm Oil's price has risen 6.88%, and is up 13.76% compared to the same time last year, 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 September of 2025.

Explore the RBD Palm Oil Manufacturing Plant Project Report 2025 by Procurement Resource. Stay updated on RBD Palm Oil manufacturing cost analysis, procurement insights, ROI, and market evaluation.

The global RBD Palm Stearin market is experiencing robust growth, driven by increasing demand from the food and personal care industries. The market size in 2025 is estimated at $5 billion, based on industry analysis and considering the typical market size for similar palm oil derivatives. A Compound Annual Growth Rate (CAGR) of 6% is projected from 2025 to 2033, indicating a significant expansion over the forecast period. This growth is fueled by several key factors: the rising global population and consequent increased food consumption, the expanding use of palm stearin in food products as a cost-effective and versatile ingredient, and its growing application in the manufacturing of cosmetics and personal care items. Furthermore, increasing awareness of its properties, such as its semi-solid nature at room temperature, which is ideal for various applications, is driving its adoption. However, the market faces challenges such as fluctuating crude palm oil prices, environmental concerns surrounding palm oil production, and increasing competition from alternative vegetable oils. Despite these constraints, the market's growth trajectory remains positive. Key players like Cargill, Wilmar, and Musim Mas are actively involved in expanding production capacity and developing innovative applications for RBD Palm Stearin. The market is segmented by region, with Asia-Pacific and Southeast Asia holding a dominant share due to the concentration of palm oil production. Growth in other regions is expected to be driven by rising consumer demand and the increasing adoption of palm stearin in various industries. Strategic partnerships, mergers, and acquisitions among leading players are likely to shape the competitive landscape in the coming years. The forecast period will see a continued focus on sustainable sourcing practices and technological advancements to enhance efficiency and reduce environmental impact.

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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 Palm Oil Market is segmented by application (edible oil, surfactants, bio-diesel, others), type (conventional, organic), and geography (Europe: Germany, UK; Middle East and Africa: Qatar, UAE; APAC: China, India, Indonesia, Malaysia, Pakistan; Rest of World). This segmentation reflects the market's growth, driven by high demand for edible oil and bio-diesel applications, with conventional palm oil dominating and significant production and export contributions from Indonesia and Malaysia in the APAC region.
The market is driven by the increasing consumer awareness towards the health benefits associated with palm oil. This trend is fueled by the growing recognition of palm oil's role in various food products and its nutritional properties. Key end-use sectors include instant noodles, cereals, candles, shampoos, detergents, and biofuel production. A new growth avenue for palm oil is emerging in the biodiesel sector, as governments and industries seek sustainable alternatives to fossil fuels. However, this market faces significant challenges. Deforestation and plant diversity losses remain pressing concerns, with negative environmental impacts threatening the industry's reputation and long-term sustainability.
Companies must navigate these challenges by implementing responsible sourcing practices and investing in sustainable production methods to meet evolving consumer demands and regulatory requirements. By focusing on these strategic priorities, players in the market can capitalize on emerging opportunities while mitigating risks and ensuring long-term growth.

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

Explore in-depth regional segment analysis with market size data - historical 2019-2023 and forecasts 2025-2029 - in the full report.
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Palm oil, derived from the fruit of the oil palm tree, continues to be a dynamic and evolving market due to its diverse applications across various sectors. Crude palm oil serves as a primary ingredient in food processing, cosmetics, and biodiesel production. The ongoing development of palm oil technology advances the industry's efficiency and sustainability, with innovations in refining processes, palm oil mill operations, and transportation methods. Sustainability remains a significant focus, as concerns over greenhouse gas emissions and land use change persist. Regulations and certifications, such as the Roundtable on Sustainable Palm Oil (RSPO), aim to promote sustainable practices in palm oil production.

These efforts extend to the supply chain, with increasing emphasis on transparency and responsible sourcing. Palm oil byproducts, including palm oil biogas and biofertilizer, offer additional value to the industry. The versatility of palm oil extends to the creation of palm oil biofuel, contributing to the energy sector. The continuous unfolding of market activities reveals the potential for further growth and innovation, as the industry adapts to evolving consumer demands and regulatory requirements. Forest conservation and the reduction of deforestation are essential considerations for the palm oil sector. The industry's impact on greenhouse gas emissions and land use change necessitates ongoing efforts to minimize environmental harm while maintaining economic viability.

The palm oil futures market reflects the industry's volatility and the importance of effective price risk management for investors. In the realm of palm oil plantations, advancements in technology and sustainable practices are essential to maintaining profitability and addressing environmental concerns. The palm oil mill sector continues to optimize processes, while transportation methods evolve to ensure efficient and cost-effective delivery of crude palm oil and its derivatives. Refined palm oil and its derivatives, such as palm kernel oil, are integral components of numerous industries, from food and beverage to cosmetics and biofuels. As the market continues to evolve, investment opportunities arise in various sectors, from technology and production to trading and logistics.

The dynamic nature of the market ensures a constant flow of innovation and growth.

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.

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)

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The global Refined, Bleached, and Deodorized Palm Oil (RBDPO) market is experiencing robust growth, driven by its widespread use in food applications (cooking oil and margarine) and the burgeoning biodiesel industry. The market, estimated at $50 billion in 2025, is projected to exhibit a Compound Annual Growth Rate (CAGR) of 5% from 2025 to 2033, reaching approximately $70 billion by 2033. This growth is fueled by several factors: increasing global population and rising disposable incomes leading to higher demand for edible oils; the growing popularity of palm oil as a cost-effective and versatile ingredient across various food products; and the increasing adoption of biodiesel as a sustainable alternative fuel, further boosting RBDPO demand. However, the market faces challenges like fluctuating crude palm oil prices, environmental concerns regarding deforestation associated with palm oil cultivation, and increasing competition from other vegetable oils. The market is segmented by application (RBD Palm Olein, RBD Palm Stearin, Biodiesel) and refining type (Physical, Chemical), with the food application segment holding the largest market share due to its versatile applications in cooking oils and food manufacturing. Key players like Wilmar International, FGV Holdings, and IOI Group dominate the market, leveraging their extensive production capabilities and global distribution networks. Regional growth varies significantly, with Asia Pacific remaining the largest market due to high palm oil consumption, followed by Europe and North America. The shift towards sustainable palm oil production practices and the development of innovative RBDPO-based products will play a crucial role in shaping the future of this market. The competitive landscape is highly concentrated, with a few large players holding significant market share. However, smaller players are also gaining traction through specialized product offerings and focusing on niche markets. Future growth opportunities lie in expanding into emerging markets, developing sustainable and traceable palm oil supply chains, and innovating new RBDPO-based products for various applications, including personal care and cosmetics. The increasing regulatory scrutiny regarding deforestation and environmental impact necessitates the adoption of sustainable practices by major players, shaping industry dynamics and influencing consumer preferences towards responsibly sourced RBDPO. This will require significant investment in sustainable sourcing initiatives and transparent supply chain management. Technological advancements in refining processes are also expected to improve efficiency and reduce production costs.

Palm Oil Market Outlook

The global palm oil market size stood at USD 42 billion in 2023 and is projected to reach USD 65 billion by 2032, growing at a CAGR of 4.9% from 2024 to 2032. The growth of the market is significantly driven by the rising demand for sustainable and versatile vegetable oils across various industries. Palm oil is highly favored due to its cost-effectiveness and efficiency in yield compared to other vegetable oils. Moreover, its unique properties make it a vital ingredient in food production, personal care, cosmetics, and biofuel industries, further boosting its market growth. The expanding global population and the subsequent increase in food and energy demands serve as critical growth factors for the palm oil market.

One of the primary growth factors for the palm oil market is the increasing inclination towards biofuels as an alternative energy source. With growing environmental concerns and the push for reducing carbon footprints, biofuels have gained prominence, and palm oil serves as a crucial feedstock for biodiesel production. Countries across Europe and North America are investing heavily in biofuel outputs to meet clean energy policies and carbon reduction targets, reinforcing the demand for palm oil. Additionally, the energy crisis has emphasized the need for alternative energy solutions, wherein palm oil-based biofuels are gaining traction. This shift towards sustainable and eco-friendly energy sources is driving the palm oil market significantly.

Another pivotal factor propelling the palm oil market is its extensive application in the food and beverages industry. As a versatile ingredient, palm oil is used in a variety of food products ranging from baked goods, margarine, confectioneries, to frying oils. Its ability to enhance texture, flavor, and shelf-life of food products makes it indispensable. With the expanding food industry and rising consumer demand for processed and ready-to-eat meals, the utilization of palm oil is witnessing a notable upsurge. Additionally, the emerging trend of veganism and preference for plant-based diets have further fueled the demand for palm oil as a substitute for animal-based fats.

The increasing usage of palm oil in the personal care and cosmetics industry also contributes significantly to market growth. Palm oil and its derivatives are extensively used in the formulation of skincare and haircare products due to their moisturizing and nourishing properties. The global cosmetics industry has witnessed a surge in demand for organic and natural products, driving the usage of palm oil in formulations. Furthermore, the anti-aging and regenerative qualities of palm oil have bolstered its application in premium cosmetic products. The continued innovation and development of new personal care products are expected to support the growth of the palm oil market in this segment.

Regionally, the Asia Pacific dominates the palm oil market and is expected to maintain its leading position throughout the forecast period. The region's dominance can be attributed to the high consumption rates, particularly in countries like Indonesia and Malaysia, which are also the leading producers and exporters of palm oil. Meanwhile, North America and Europe are witnessing a rising demand for sustainable palm oil due to stringent regulations and increasing consumer awareness about environmental concerns. In contrast, the Middle East & Africa and Latin America are anticipated to offer lucrative growth opportunities for market players, driven by the increasing demand in food and energy sectors.

Product Type Analysis

In the palm oil market, product type segmentation plays a crucial role in understanding the diverse applications and demand patterns across various sectors. Crude palm oil (CPO) is the most significant segment, largely due to its fundamental role in food manufacturing and the production of refined palm oil. CPO is processed further to produce refined, bleached, and deodorized (RBD) palm oil, which is a staple in the cooking industry. The growth of this segment is buoyed by the rising demand in the food sector, particularly in rapidly urbanizing regions where processed foods are becoming integral to daily living.

Palm kernel oil is another vital segment, distinguished by its unique composition and fatty acid profile, making it ideal for specific industrial applications. It is prominently used in the production of non-dairy creamers, confectionery fats, and as a raw material in detergents and cosmetics. The evolving consumer preferences towards plant-based and sustainable products have increased the significance

The global RBD Palm Olein market is experiencing robust growth, driven by its increasing application in the food industry, particularly in the manufacturing of processed foods and cooking oils. The rising demand for convenient and affordable food products, coupled with the favorable price point and functional properties of RBD Palm Olein, are major contributing factors to this market expansion. Furthermore, the retail sector is a significant consumer, utilizing RBD Palm Olein as a key ingredient in various packaged goods. While challenges exist, such as fluctuating crude palm oil prices and growing concerns regarding sustainability, the market is expected to maintain a healthy Compound Annual Growth Rate (CAGR) of approximately 5% from 2025 to 2033. This growth is projected to be largely driven by expanding economies in Asia-Pacific, particularly in regions like India and Southeast Asia, where demand for edible oils continues to increase alongside population growth and rising disposable incomes. Significant players like Cargill, Musim Mas, and IOI Group are strategically investing in capacity expansion and exploring sustainable sourcing practices to cater to this burgeoning market. The market segmentation is largely determined by application (food industry and retail dominating), with emerging applications in other sectors showing potential for future growth. Regional analysis reveals significant market share for Asia-Pacific, owing to high production and consumption within the region, followed by North America and Europe. The RBD Palm Olein market's growth trajectory is also influenced by several trends. A growing preference for healthier alternatives and increased awareness of sustainability concerns are pushing manufacturers to adopt more eco-friendly practices and transparent sourcing. This is leading to an increase in certified sustainable RBD Palm Olein, creating a new segment with premium pricing. Government regulations aimed at promoting sustainable agriculture and reducing deforestation are also impacting the market, favoring producers adhering to responsible sourcing guidelines. The market faces constraints such as price volatility of raw materials, competition from other vegetable oils, and concerns regarding the environmental impact of palm oil production. However, continuous improvements in processing techniques, advancements in sustainability practices, and diversification into new applications suggest that the RBD Palm Olein market will navigate these challenges effectively and continue its robust growth.

The global RBD (Refined, Bleached, and Deodorized) Palm Stearin market is experiencing robust growth, driven by increasing demand from the food and chemical industries. This growth is fueled by the versatility of palm stearin, its relatively low cost compared to other vegetable fats, and its use in a wide range of applications, from confectionery and bakery products to cosmetics and detergents. The market is segmented by type (hydrogenated and non-hydrogenated) and application (food and chemical industries). While the food industry remains the dominant consumer, the chemical industry is showcasing significant growth potential due to the increasing demand for palm-based surfactants and emulsifiers in various manufacturing processes. Major players like Wilmar International, Cargill, and Louis Dreyfus Company dominate the market, benefiting from established supply chains and strong distribution networks. However, growing concerns regarding deforestation and sustainable sourcing practices present a significant challenge to the industry's continued growth. Companies are increasingly focusing on certifications like the Roundtable on Sustainable Palm Oil (RSPO) to address these concerns and ensure the long-term viability of their operations. Regional variations exist, with Asia-Pacific, particularly Southeast Asia, maintaining the largest market share due to significant palm oil production, followed by North America and Europe. Future growth will depend on factors such as evolving consumer preferences, technological advancements in processing techniques, and stringent regulatory measures related to sustainability. The forecast period (2025-2033) anticipates a sustained growth trajectory for RBD palm stearin. We project a Compound Annual Growth Rate (CAGR) of approximately 5% (this is an estimate based on typical growth rates in the vegetable oil sector, assuming no major disruptive events). This growth is expected to be driven by the expanding global population, rising disposable incomes in developing economies, and increasing demand for processed food products. However, fluctuations in crude palm oil prices, and the increasing adoption of alternative fats and oils based on consumer health awareness, present potential headwinds. Furthermore, governmental regulations regarding the use of palm oil in specific products will continue to shape market dynamics and necessitate strategic adaptation by industry players. Successful market navigation requires a focus on sustainability, cost-effectiveness, and adapting to the changing demands of both consumers and regulatory bodies.

The global food grade palm oil market is experiencing robust growth, driven by increasing demand from the food and beverage industry. While precise figures for market size and CAGR are unavailable in the provided data, based on industry reports and general market trends, we can estimate a 2025 market size of approximately $25 billion USD. This reflects a strong performance given the global rise in processed food consumption and the versatility of palm oil in various applications, from cooking oils and margarine to confectionery and baked goods. The market is projected to maintain a healthy CAGR of around 4-5% between 2025 and 2033, fueled by population growth, rising disposable incomes in emerging markets, and the continued use of palm oil as a cost-effective and functional ingredient. However, the market faces certain challenges including growing consumer awareness regarding sustainability concerns and deforestation linked to palm oil production, leading to a shift towards sustainable and certified palm oil options. This presents both an opportunity and a restraint: companies focusing on sustainable sourcing and transparency are well-positioned to capitalize on the growing demand for ethically produced palm oil. Major players like FGV Holdings Berhad, IOI Group, Sime Darby Berhad, and Wilmar International are key stakeholders in the market, constantly striving to improve their sustainability practices and meet the evolving consumer preferences. Regional variations in demand exist, with Asia-Pacific currently dominating the market due to high consumption rates, followed by Europe and North America. The increasing focus on health and wellness is influencing trends towards healthier alternatives, putting some pressure on the market. Nevertheless, ongoing innovations in refining and processing techniques, as well as the development of healthier palm oil derivatives, are mitigating these challenges and enhancing market prospects. The market segmentation is likely diverse, including refined, bleached, and deodorized (RBD) palm oil, along with specialized fractions catering to specific applications.

In 2024, the Pakistani crude palm oil market decreased by -80.2% to $12M, falling for the fifth consecutive year after three years of growth. Overall, consumption continues to indicate a sharp curtailment. Crude palm oil consumption peaked at $430M in 2012; however, from 2013 to 2024, consumption stood at a somewhat lower figure.

The global Refined Bleached Deodorized Palm Oil (RBDPO) market is experiencing robust growth, driven by increasing demand for vegetable oils in food applications and the biofuel industry. The market size in 2025 is estimated at $25 billion, exhibiting a Compound Annual Growth Rate (CAGR) of 5% from 2025 to 2033. This growth is fueled by several key factors: rising global population and consequent increased food consumption, expanding use of palm oil in processed foods (cooking oils, bakery products, confectionery), and the growing adoption of biodiesel as a sustainable alternative fuel. The increasing health consciousness among consumers is leading to a demand for healthier cooking oils, which presents both an opportunity and a challenge for the RBDPO market. The market is segmented by refining type (physical and chemical) and application (RBD palm olein, RBD palm stearin, and biodiesel), each showing varying growth trajectories. The physical refining segment is currently dominant, but the chemical refining segment is projected to gain significant traction due to its ability to produce higher-quality oils. Major players in the RBDPO market, including FGV Holdings, IOI Group, Wilmar International, and Sime Darby Plantation, are actively investing in research and development, optimizing production processes, and exploring new market opportunities to maintain their competitive edge. Geographic segmentation reveals strong growth in the Asia-Pacific region, driven by substantial palm oil production and consumption within this area. However, North America and Europe are also experiencing notable growth, propelled by the increasing demand for sustainable and cost-effective vegetable oils. While the market enjoys several tailwinds, potential restraints include fluctuating crude palm oil prices, environmental concerns surrounding palm oil production (deforestation, habitat loss), and competition from other vegetable oils. The industry needs to address these challenges by improving sustainability practices and promoting the health benefits of RBDPO to solidify its position in the global edible oils market. Effective supply chain management and investment in technological advancements will further influence market competitiveness and future growth trajectories. The forecast period of 2025-2033 promises sustained expansion for the RBDPO market, yet the ability to address environmental concerns and consistently offer quality products will be key determinants of long-term success. This report provides a comprehensive analysis of the Refined Bleached Deodorised Palm Oil (RBDPO) market, a crucial component in numerous industries. Valued at an estimated $30 billion USD annually, this market is characterized by intense competition and significant growth potential. This in-depth study will offer key insights into production, consumption, and market dynamics for informed decision-making.

The RBD Palm Olein market has seen exponential growth in recent years, driven by the rising demand for versatile and cost-effective cooking oils. Refined, Bleached, and Deodorized (RBD) Palm Olein is a semi-liquid oil derived from the fruit of oil palm trees, known for its stability and health benefits compared to o