RHB Research said that the narrowing price spread between CPO and soybean oil in the third quarter of last year made palm oil less competitive, prompting importers to switch to alternative oils. This was also reflected in trade data, with Malaysia’s palm oil exports being down 10.2% up to last November. China and India’s palm oil imports fell 16% and 14% y-o-y, respectively, up to last October. RHB Research said that by last November, China’s palm oil imports were only 3% lower y-o-y, while India’s decline narrowed to 5%. It also pointed to the possibility that the US Environmental Protection Agency may delay the implementation of tighter biofuel policies, which would ease demand for soybean oil and weigh indirectly on palm oil prices.

Source: The Star January 12, 2026 08:40 UTC