Lang
KUALA LUMPUR — Malaysia’s crude palm oil (CPO) production jumped by 8.08% month-on-month in June 2026, reaching 1,638,796 tonnes compared to 1,516,327 tonnes in May, according to official data released by the Malaysian Palm Oil Board (MPOB) in its July report.
The monthly growth was primarily anchored by a robust performance in Peninsular Malaysia, where production surged by 15.38% to 917,086 tonnes. Sabah also posted a moderate gain of 5.07% (362,689 tonnes), offsetting a 4.59% decline in Sarawak (359,021 tonnes).
Stock Expansion and Import SurgeTotal palm oil stockpiles rose by 4.77% to 2.54 million tonnes by the end of June. Processed palm oil reserves expanded by 5.91% to 1.21 million tonnes, while CPO inventories increased by 3.76% to 1.33 million tonnes.
Concurrently, Malaysia saw a dramatic 135.33% spike in processed palm oil imports, climbing from 43,816 tonnes in May to 103,113 tonnes in June.
Exports Mixed: Palm Oil Up, Biodiesel CollapsesOn the trade front, total palm oil exports expanded by 7.23% month-on-month, reaching 1,215,850 tonnes. Palm kernel cake exports performed strongly, jumping 25.30% to 222,887 tonnes.
However, the downstream segment faced severe headwinds. Biodiesel exports plummeted by 88.35% from 41,361 tonnes in May to just 4,817 tonnes in June. Oleochemical exports also contracted by 11.96% to 225,098 tonnes.
Price AdjustmentsFresh Fruit Bunch (FFB) prices experienced a minor downward adjustment, dropping 1.27% to RM 48.90 per tonne (at 1% OER equivalent), reflecting broader market dynamics amid rising national inventories.