KUALA LUMPUR, Oct 7 (Bernama) -- Crude palm oil (CPO) prices could return to the RM5,000-per-tonne level as early as in the first quarter (1Q) of 2027, driven by potential disruptions to the sunflower oil market and developments surrounding the Russia-Ukraine conflict, said an analyst.
ISTA Mielke GmbH executive director Thomas Mielke said CPO prices could also potentially regain the US$1,300-per-tonne level for free-on-board (FOB) palm oil prices, but the timing remained uncertain.
“We can easily get RM5,000 (CPO prices) back again, and US$1,300 back again for Malaysian FOB palm oil. The question is when. I would assume we will see this back again as early as January,” he said in a panel discussion at the Malaysian Palm Oil Forum (MPOF) Kuala Lumpur 2026 here today.
The session was moderated by Cable News Network (CNN) anchor and correspondent Eleni Giokos. Also on the panel were Glenauk Economics managing director Dr Julian McGill and Frost & Sullivan chemicals material and nutrition director Nikhil Vallabhan.
Mielke said the developments surrounding the Black Sea sunflower oil corridor could also provide support to palm oil prices.
He said global palm oil annual production growth is likely to ease to 1.3 million tonnes or less in the 10 years to 2030 from an average of annual growth of 2.9 million tonnes in the 10 years to 2020.
“However, palm oil is still dominating the global market of oils/fats with a production share of 31 per cent and export share of 49 per cent this year.
“The commodity no longer needs to gain market share via price discounts, except for relatively short periods of temporary oversupply,” he added.
-- BERNAMA