Palm Oil Eases

Malaysian palm oil futures fell slightly, hovering below MYR 4,620 as traders booked profits after a near two-week high in recent days. Sentiment weakened on softer edible oils in Dalian and sluggish exports, with cargo surveyors noting April 1–20 shipments down about 25.6%–25.8% from March amid the absence of festive demand. In the main consumer China, imports of key commodities, particularly soybeans, may fall this year, clouding the broader edible oil outlook.
Still, palm oil is up around 3.7% so far this week, rebounding from losses in the prior two periods, lifted by a weaker ringgit and firmer crude prices due to Middle East shipping disruptions. Hopes of stronger demand from top buyer India also grew after March shipments fell 19% mom. Meantime, Malaysia is moving toward higher biodiesel blends, targeting B15 from the current B10. The policy could absorb 1–1-1/2 million tonnes annually, tightening supply as Kuala Lumpur follows Jakarta in expanding mandates to curb fuel imports.
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