ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailPositive ArrowIcon Print

Palm oil faces headwinds amid China lockdowns, EU phaseout

Indonesia sees 'stable' prices in coming months, but future outlook dim

Palm oil, derived from the fruit seen here, is widely used as a vegetable oil and is an ingredient in processed foods and many other products, including cosmetics.    © Antara Foto/Reuters

BALI, Indonesia -- Market uncertainties and slowing economies are clouding the outlook for global palm oil demand, with prices expected to decline next year after having hit record highs in the wake of Russia's invasion of Ukraine.

Some industry players and analysts who gathered at the Indonesia Palm Oil Conference on the resort island of Bali last week forecast that Malaysian palm oil futures for delivery in three months -- a global benchmark of the commodity -- to hover between 3,500 ringgit ($738) and 5,000 ringgit per tonne through the first quarter of 2023.

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

Discover the all new Nikkei Asia app

  • Take your reading anywhere with offline reading functions
  • Never miss a story with breaking news alerts
  • Customize your reading experience

Nikkei Asian Review, now known as Nikkei Asia, will be the voice of the Asian Century.

Celebrate our next chapter
Free access for everyone - Sep. 30

Find out more