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Palm Kernel Oil Price Trend and Forecast

⟳ Weekly Update
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Historical Data Since 2015
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Forecast for 2026
  • Commodity Pricing

palm kernel oil Price Trends by Country

cnChina
usUnited States
inIndia
aeUnited Arab Emirates
jpJapan
myMalaysia

Global palm kernel oil Spot Market Prices, Trend Analysis and Forecast

Price-Watch™ provides price assessments for Palm Kernel Oil across top trading regions:

Asia-Pacific

  • RBD Palm Kernel Oil FOB Port Klang, Malaysia
  • RBD Kernel Palm Oil CIF Shanghai (Malaysia), China
  • RBD Kernel Palm Oil CIF Nhava Sheva (Malaysia), India
  • RBD Kernel Palm Oil CIF Tokyo (Malaysia), Japan


North America

  • RBD Kernel Palm Oil CIF Houston (Malaysia), USA


Middle East

  • RBD Kernel Palm Oil CIF Sharjah (Malaysia), United Arab Emirates


Note: In assessments structured as CIF [Importing Port] (Exporting Country), the country mentioned in brackets indicates the primary origin of supply (exporting country), while the named port refers to the destination port in the importing country. Other Incoterms (FOB, FD, EXW, etc.) should be interpreted in accordance with standard international trade definitions.

Palm Kernel Oil Price Trend Q1 2026

During Q1 2026, RBD Palm Kernel Oil (PKO) prices across global markets have exhibited a broadly bullish trend, driven by rising palm kernel feedstock costs, geopolitical uncertainties surrounding the USA-Israel vs Iran conflict which have disrupted vegetable oil supply chains, and steady downstream demand from oleochemical, personal care, and food processing sectors.

Malaysia, as the primary FOB export origin, has recorded firm quarterly appreciation as elevated palm kernel crushing economics have supported firmer refined product pricing across all destination markets.

Freight cost movements have varied significantly across trade routes, with sharp decreases benefiting the UAE and USA while sharp increases have amplified cost transmission into India, which has recorded the most pronounced quarterly appreciation among all monitored markets.

The Palm Kernel Oil price trend across all monitored regions has reflected the compounding influence of feedstock cost escalation and conflict-driven supply chain disruptions, with divergent freight dynamics creating differentiated pricing outcomes across destination markets throughout the quarter.

Malaysia: Palm Kernel Oil Export prices FOB Port Kelang, Malaysia, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in Malaysia has recorded a firm increase of approximately 6.49%, driven by rising palm kernel feedstock costs which have elevated crushing and refining economics and supported firmer export pricing across the Malaysian refined palm kernel oil sector.

Geopolitical uncertainties surrounding the USA-Israel vs Iran conflict have further underpinned global vegetable oil and lauric oil demand, adding an additional layer of upward price support throughout the quarter.

The Palm Kernel Oil price trend in Malaysia has reflected tightening supply conditions as downstream demand from oleochemical, personal care, and food processing industries has remained robust amid constrained palm kernel availability.

Palm Kernel Oil prices in Malaysia have remained supported as export-oriented producers have maintained disciplined pricing amid rising feedstock costs and consistent international procurement activity throughout the quarter.

In March 2026, Palm Kernel Oil price in Malaysia has risen by around 10.59%, as crude palm kernel feedstock costs continued to climb alongside sustained geopolitical tensions, driving firmer FOB Port Kelang export pricing during the month.

USA: Palm Kernel Oil Import prices CIF Houston from Malaysia, USA, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in the USA has risen by approximately 6.79%, reflecting the passthrough of firming Malaysian FOB prices into the US import market, where rising palm kernel feedstock costs have elevated origin-side refining economics.

A sharp decrease in freight costs on the Malaysia-USA trade corridor during the quarter has partially offset the full extent of origin-side cost increases, yet overall import valuations have still risen meaningfully under CIF Houston terms driven by the strength of feedstock-driven FOB price appreciation.

The Palm Kernel Oil price trend in the USA has been shaped by the interplay between elevated palm kernel feedstock-driven origin costs and the moderating influence of lower logistics expenses, with geopolitical uncertainties surrounding the USA-Israel vs Iran conflict having underpinned the broader lauric oil cost environment throughout the quarter.

Palm Kernel Oil prices in the USA have remained supported by steady demand from oleochemical, personal care, and food manufacturing sectors. In March 2026, Palm Kernel Oil price in the USA rose by around 9.36%, as continued palm kernel feedstock cost appreciation at origin outweighed the moderating influence of reduced freight costs, maintaining meaningful upward pressure on US import valuations during the month.

China: Palm Kernel Oil Import prices CIF Shanghai from Malaysia, China, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in China has risen by approximately 6.59%, reflecting the passthrough of firming Malaysian FOB prices into the Chinese import market, where rising palm kernel feedstock costs have elevated refining economics at origin and transmitted into CIF Shanghai import valuations alongside a slight increase in freight costs during the quarter.

The Palm Kernel Oil price trend in China has been shaped by geopolitical uncertainties surrounding the USA-Israel vs Iran conflict which have supported firmer lauric oil pricing globally, compounding the feedstock-driven cost increases filtering through from Malaysian production.

Palm Kernel Oil prices in China have remained supported by steady downstream demand from oleochemical, soap manufacturing, and personal care product sectors throughout the quarter.

In March 2026, Palm Kernel Oil price in China has risen by around 10.48%, as intensifying palm kernel feedstock cost pressures at origin alongside conflict-driven supply chain disruptions maintained strong upward momentum in Chinese import market pricing during the month.

Japan: Palm Kernel Oil Import prices CIF Tokyo from Malaysia, Japan, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in Japan has risen by approximately 6.36%, tracking the upward FOB trend from the primary Malaysian supply origin, where rising palm kernel feedstock costs have elevated crushing and refining economics and supported firmer export pricing, with a slight increase in freight costs during the quarter providing modest additional amplification under CIF Tokyo terms.

The Palm Kernel Oil price trend in Japan has reflected elevated upstream costs driven by both palm kernel feedstock cost appreciation and geopolitical uncertainties surrounding the USA-Israel vs Iran conflict, which have supported firmer global lauric oil pricing and transmitted progressively into Japanese import valuations throughout the quarter.

Palm Kernel Oil prices in Japan have remained supported by steady demand from oleochemical, personal care, and food processing manufacturing sectors, with buyers absorbing incremental procurement cost increases during the period.

In March 2026, Palm Kernel Oil price in Japan has risen by around 10.31%, as sustained palm kernel feedstock cost increases at the Malaysian origin alongside slightly firming freight costs continued to support upward movement in Japanese import market pricing during the month.

United Arab Emirates : Palm Kernel Oil Import prices CIF Sharjah from Malaysia, UAE, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in the UAE has recorded a firm increase of approximately 7.09%, reflecting the passthrough of rising Malaysian FOB prices into the UAE import market, where elevated palm kernel feedstock costs have underpinned origin-side production economics.

A sharp decrease in freight costs on the Malaysia-UAE trade corridor during the quarter has partially moderated the full extent of origin-side cost transmission under CIF Sharjah terms, though overall import valuations have still risen meaningfully driven by the strength of feedstock-driven FOB price appreciation.

The Palm Kernel Oil price trend in the UAE has been driven by the interplay between palm kernel feedstock cost escalation, geopolitical uncertainties surrounding the USA-Israel vs Iran conflict, and the moderating influence of lower logistics costs on Middle East-bound trade routes.

Palm Kernel Oil prices in the UAE have remained elevated as oleochemical, soap manufacturing, and personal care sector buyers have absorbed the net cost impact throughout the quarter.

In March 2026, Palm Kernel Oil price in the UAE surged by around 13.29%, as intensifying Middle East geopolitical tensions and continued palm kernel feedstock cost appreciation drove sharply higher import valuations despite the earlier freight cost relief, pushing CIF Sharjah pricing among the highest levels recorded across all monitored markets during the month.

India: Palm Kernel Oil Import prices CIF Nhava Sheva from Malaysia, India, Grade- RBD Palm Kernel Oil

In Q1 2026, Palm Kernel Oil price in India has recorded the most pronounced quarterly appreciation among all monitored markets at approximately 9.11%, driven by the combined impact of sharply rising Malaysian FOB prices underpinned by elevated palm kernel feedstock costs and significant freight cost increases on the Malaysia-India trade corridor, which have together driven a substantial elevation in CIF Nhava Sheva import valuations during the quarter.

The Palm Kernel Oil price trend in India has reflected acute sensitivity to feedstock-driven origin cost escalation compounded by the USA-Israel vs Iran conflict and sharp logistics cost pressures, with downstream demand from oleochemical refining, personal care, and food processing sectors remaining robust throughout the period.

Palm Kernel Oil prices in India have remained firmly elevated as import-dependent market dynamics and the dual burden of rising palm kernel feedstock costs and freight escalation have left buyers with limited ability to mitigate compounding cost pressures.

In March 2026, Palm Kernel Oil price in India has surged by around 13.27%, as sustained palm kernel feedstock cost increases at origin alongside sharp freight cost escalation continued to drive CIF Nhava Sheva import valuations to significantly elevated levels during the month.

Palm Kernel Oil Price Trend Analysis: Q4 2025

According to Price-Watch™, in Q4 2025, the worldwide RBD Palm Kernel Oil market generally experienced modest price drops of 1-3% across most importing countries, with India standing out as the exception showing price gains.

In China, Japan, and others, freight rates showed mixed movements slight increases in some cases alongside sharp changes elsewhere adding to importers’ offered price pressures. Even so, net prices softened overall due to steady Malaysian supply availability, competition from alternative vegetable oils, and buyers’ disciplined inventory strategies in food, oleochemical, and confectionery sectors.

India bucked the trend through robust domestic demand and proactive restocking, where sharply rising freight amplified upward momentum. Malaysia served as the global pricing anchor via abundant palm kernel output, efficient FOB Port Kelang trades unaffected by freight, and balanced export flows.

Importers navigated logistics variability through selective sourcing and forward planning, aligning regional needs with core supply fundamentals.

Malaysia: Palm Kernel Oil Export prices FOB Port Kelang, Malaysia, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in Malaysia ranged 1680-1855 USD and showed a downward price trend. The 1.79% easing for RBD Palm Kernel Oil FOB Port Kelang reflected abundant domestic palm kernel harvests and export competition from Southeast Asian peers.

Freight charges are not applicable on FOB basis. The RBD Palm Kernel Oil price trend in Malaysia underscores primary production pressures. Local mills adjusted output, global buyers negotiated volumes.

In December 2025, RBD Palm Kernel Oil prices in Malaysia decreased by 0.51%, shaped by end-quarter adjustments, ample stocks, and position clearing at Port Kelang. Steady Q1 transition expected.

USA: Palm Kernel Oil Import prices CIF Houston from Malaysia, USA, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in USA ranged from 1790-1995 USD and showed a downward price trend. The 3.26% reduction for RBD Kernel Palm Oil CIF Houston (Malaysia) was pressured by steady North American supplies and selective chocolate sector uptake amid soybean competition.

Freight charges registered a sharp decrease, cushioning offered price effectively. The RBD Palm Kernel Oil price trend in the USA reflects measured consumption. Buyers diversified sources and the ports handled volumes smoothly.

In December 2025, RBD Palm Kernel Oil prices in USA increased by 0.61%, influenced by strategic restocking, freight tailwinds, and Houston resilience closing the quarter. Q1 holds firm.

China: Palm Kernel Oil Import prices CIF Shanghai from Malaysia, China, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in China ranged 1695-1870 USD and showed a downward price trend. The 1.76% decline for RBD Kernel Palm Oil CIF Shanghai (Malaysia) reflected steady Malaysian supply inflows and cautious buying from food and oleochemical sectors amid global vegetable oil competition.

Freight charges saw a slight increase, partially offsetting origin softening. The RBD Palm Kernel Oil price trend in China indicates balanced import dynamics. Processors maintained moderate restocking, while traders hedged against logistics variability.

In December 2025, RBD Palm Kernel Oil prices in China decreased by 0.43%, driven by year-end position squaring, controlled palm kernel arrivals, and subdued pre-holiday demand reinforcing Shanghai deal structures. Q1 2026 eyes stabilization on seasonal cues.

Japan: Palm Kernel Oil Import prices CIF Tokyo from Malaysia, Japan, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in Japan ranged 1730-1900 USD and showed a downward price trend. The -1.66% drop for RBD Kernel Palm Oil CIF Tokyo (Malaysia) arose from consistent supply discipline and measured confectionery demand in a high-value yen environment.

Freight charges experienced a slight increase, moderating overall cost relief. The RBD Palm Kernel Oil price trend in Japan highlights cautious trading patterns. Importers optimized inventories; exporters competed on reliability.

In December 2025, RBD Palm Kernel Oil prices in Japan decreased by -0.42%, attributed to profit realizations, holiday reserve builds, and Tokyo equilibrium amid steady palm kernel fundamentals. Gradual firming is anticipated.

United Arab Emirates: Palm Kernel Oil Import prices CIF Sharjah from Malaysia, UAE, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in UAE ranged from 1765-1940 USD and showed a downward price trend. The -2.31% decline for RBD Kernel Palm Oil CIF Sharjah (Malaysia) followed reliable Malaysian shipments and stable Middle East re-export demand for cosmetics.

Freight charges saw a sharp decrease, aiding offered price competitiveness. The RBD Palm Kernel Oil price trend in UAE signals softening yet supported flows. Traders secured spots judiciously; hubs saw routine activity.

In December 2025, RBD Palm Kernel Oil prices in UAE decreased by -0.21%, via logistics relief, moderate inquiries, and Sharjah balance. Positive forward momentum.

India: Palm Kernel Oil Import prices CIF Nhava Sheva from Malaysia, India, Grade- RBD Palm Kernel Oil

In Q4 2025, RBD Palm Kernel Oil prices in India ranged 1755-1925 INR and showed an upward price trend. The 0.68% rise for RBD Kernel Palm Oil CIF Nhava Sheva (Malaysia) stemmed from firm domestic edible oil needs and selective importer restocking despite ample regional alternatives.

Freight charges registered a sharp increase, elevating offered price notably. The RBD Palm Kernel Oil price trend in India conveys resilience amid currency steadiness. Refiners paced purchases strategically, leveraging forward contracts.

In December 2025, RBD Palm Kernel Oil prices in India increased by 0.89%, influenced by quality tightness, biofuel spillovers, and Nhava Sheva premiums as buyers locked year-end volumes proactively. Outlook remains supported.

In Q3 2025, the worldwide RBD Palm Kernel Oil market generally saw modest price drops in most of the importing countries, with India being an exception where prices rose. In China, Japan, the UAE, and the USA, freight rates increased, sometimes drastically to contribute to importer’s offered cost pressure.

Nevertheless, after these higher logistics costs, the net price of palm kernel oil still fell due to muted demand, competitive pricing by substitute oils, and tactical inventory management by customers.

India was the sole exception where firm end-use demand and active purchasing for the food and personal care industries drove Palm Kernel Oil price trend upward, with the effect of sharply rising freight augmenting this increase.

Malaysia remained the anchor for the world benchmark with controlled production, streamlined refining, and stable domestic demand, as local prices tracked core supply and export fundamentals instead of logistics. Importers offset freight inflation through optimized inquiry strategies and cost containment, reconciling local consumption patterns with intricate global supply flows.

Malaysia: Palm Kernel Oil Export prices FOB Port Kelang, Malaysia, Grade- RBD Palm Kernel Oil.

In Q3 2025, RBD Palm Kernel Oil prices in Malaysia fell 1.10% from the previous quarter, priced between 1700–1895 USD per metric ton band. This was due to weaker export business, constricted raw kernel supplies, and a competitive international price climate.

Malaysian producers continued to prioritize quality due to firm domestic demand for oleochemicals and food processing which led to this negative Palm Kernel Oil price trend in Malaysia.

In September 2025, Palm Kernel Oil prices rose by 4.45%, with buying interest likely to remain limited in the near term. Local supply discipline and optimally run refineries supported Malaysia’s reputation as a model market, with continuous refinements to suit export and domestic market requirements.

USA: Palm Kernel Oil Import prices CIF Houston, Malaysia, Grade- RBD Palm Kernel Oil.

In Q3 2025, RBD Palm Kernel Oil prices in the USA posted a 0.51% decline in price compared to the last quarter, with prices ranging from 1875-2035 USD per metric ton. Freight rates increased significantly, exerting pressure on offered costs upwards, but the overall Palm Kernel Oil price trend in the USA declined, showing the efficiency of buyer negotiations and supply chain management.

Importers offset increased logistic expenses with consistent demand from food, personal care, and chemical industries. In September 2025, prices rose by 4.62%, with market conditions expected to remain firm. Malaysia’s image of quality supply remained central as importers persisted in strategic sourcing to cap pricing uncertainty and competitive forces in worldwide edible oil markets.

China: Palm Kernel Oil Import prices CIF Shanghai, Malaysia, Grade- RBD Palm Kernel Oil.

In Q3 2025, RBD Palm Kernel Oil prices in China fell by 1.09% quarter-over-quarter to 1715–1910 USD per metric ton. Freight costs were slightly higher, adding to the marginally higher import prices.

However, the overall Palm Kernel Oil price trend in China was still under pressure due to soft demand and nervous buying. In September 2025, prices rose by 4.41%, with overall market sentiment likely to remain guarded in the near term.

The modest increase in logistics costs did not deter buyers from controlling procurement as they weighed import expenses against competitive pressure exerted by vegetable oils and stable Malaysian supply. This cautious market strategy captures continuing fine-tuning in the industrial and food sectors with a guarded expectation of price stability.

Japan: Palm Kernel Oil Import prices CIF Tokyo, Malaysia, Grade- RBD Palm Kernel Oil.

In Q3 2025, RBD Palm Kernel Oil prices in Japan fell by 0.81% quarter-on-quarter, and CIF Tokyo prices were between 1745–1940 USD per metric ton. There was a sudden surge in freight charges, rising costs offered, and limiting overall escalation in the Palm Kernel Oil price trend in Japan. Japanese buyers modified inquiry patterns to counter logistics cost inflation but maintain stable supply to the food, cosmetic, and chemical sectors.

In September 2025, Palm Kernel Oil prices increased by 4.34%, with pricing stability expected to remain fragile in the future.  Importers will continue watching freight trends and market policy changes to keep supplies reliable despite uncertain international conditions.

United Arab Emirates: Palm Kernel Oil Import prices CIF Sharjah, Malaysia, Grade- RBD Palm Kernel Oil.

In Q3 2025, RBD Palm Kernel Oil prices in the United Arab Emirates declined by 0.52%, ranging between 1800-1980 USD per metric ton. Freight levels went up modestly, boosting import costs, but weakness in the Palm Kernel Oil price trend in the UAE dominated because of muted demand and ferocious competition from other origins. UAE consumers reacted with cautious inquiry and inventory management tactics.

In September 2025, Palm Kernel Oil prices rose by 3.14%, with buying interest likely to remain limited in the near term. Malaysian supplies remained a consistent supply base. The modest price decline under shipping cost pressure highlights buyers’ efforts to balance cost while maintaining stable availability amid market competitiveness.

India: Palm Kernel Oil Import prices CIF Nhava Sheva, Malaysia, Grade- RBD Palm Kernel Oil.

According to Price-Watch, in Q3 2025, RBD Palm Kernel Oil prices in India went up by 1.30% quarter-on-quarter, with CIF Nhava Sheva at 1765–1960 USD per metric ton. Freight charges escalated sharply, influencing offered costs and the overall rise in the Palm Kernel Oil price trend in India.

Buyers reacted by stepping up procurement to fulfill robust food and personal care industry demand, offsetting cost pressures due to freight with their requirement for supply. In September 2025, Palm kernel oil prices rose by 4.84%, with market conditions expected to remain firm. Resilience in demand and flexibility in imports ensured continued market stability with the pressures of competitive pricing.

Palm Kernel Oil prices declined 2.4% in Q2 2025 as the market corrected from Q1 highs amid fluctuating demand and improving supply. The quarter saw heightened volatility, with mid-June marking the lowest point since Q3 2024 as abundant coconut oil substitutes and reduced buying from European oleochemical producers weighed on sentiment.

However, a late-quarter rebound emerged, driven by renewed procurement from Indian and Chinese buyers alongside production discipline from Malaysian processors seeking to manage weaker PKO–copra spreads. Seasonal shifts and summer maintenance schedules in Europe also shaped trade flows, keeping the market in a tight yet balanced state. According to PriceWatch, RBD Palm Kernel oil prices were assessed at an average of USD 1,817 per metric ton FOB Port Kelang in Q2 2025. 

Palm Kernel Oil prices in India fell 6.4% QoQ as subdued domestic demand and high Malaysian stock levels pressured the market. Uncertainty around the monsoon and ample soybean oil inventories kept Indian refiners cautious, leading to muted imports despite competitive Malaysian pricing. Labor shortages and dry weather in Malaysia curbed production, offering some support, yet Indian buyers anticipated further corrections and avoided aggressive restocking.

Import volumes were 15% lower than Q1 levels, reflecting restrained procurement. This quarter underscored the market’s sensitivity to domestic consumption trends and global supply fluctuations. According to PriceWatch, Palm Kernel oil prices ended Q2 2025 with prices averaging USD 1,974 per metric ton CIF Nhava Sheva.  

Palm Kernel Oil prices rose 4.1% in Q1 2025, extending their upward trajectory for the second consecutive quarter. The market experienced a mid-quarter rally fuelled by dry weather concerns in Southeast Asia, which raised fears of supply tightness, pushing prices temporarily to higher levels. While profit-taking tempered gains toward the quarter’s end, underlying fundamentals remained supportive, with Indonesian kernel crushing plants facing persistent constraints.

Specialty fats manufacturers sustained steady buying, highlighting PKO’s resilience and premium over competing lauric oils. The period underscored the market’s continued sensitivity to palm oil feedstock trends and climatic disruptions in major producing regions. RBD Palm Kernel oil prices ended the quarter with an average of USD 1,857 per metric ton FOB Port Kelang. 

RBD Palm Kernel Oil surged 13.2% QoQ as strong restocking ahead of India’s summer season coincided with tight Malaysian supplies. Pre-festival buying and fears of shipment delays pushed prices to a quarterly peak, prompting Indian refiners to secure cargoes early. However, demand cooled toward late March as domestic stocks reached comfortable levels, causing a minor correction.

Malaysian export taxes and weaker-than-expected production sustained supply tightness, ensuring prices remained elevated despite reduced buying momentum. This period highlighted India’s role as a key driver of lauric oil markets when seasonal demand aligns with constrained supply. RBD Palm Kernel oil prices concluded Q1 2025 with an average price of USD 2,065 per metric ton CIF Nhava Sheva, peaking at USD 2,082 per metric ton. 

Palm Kernel Oil Price Trend Analysis: Q4 2024

Palm Kernel Oil surged 33.2% in Q4 2024, marking one of the sharpest quarterly gains in recent years. The market was driven by panic buying in October after Indonesia announced kernel export restrictions, triggering an unprecedented rally within weeks.

Prices reached near-record levels in November before stabilizing as buyers adjusted to higher cost structures. Demand from the cosmetics and specialty food sectors remained firm, but kernel crushing rates lagged behind consumption needs, exposing supply-side vulnerabilities.

The quarter also reflected the impact of policy decisions on short-term market dynamics and the limited flexibility of global supply chains. According to PriceWatch, RBD Palm Kernel Oil prices concluded Q4 with an average of USD 1,904 per metric ton FOB Port Kelang. 

RBD Palm Kernel Oil prices jumped 28.5% QoQ, driven by India’s festive demand colliding with Malaysia’s severe supply constraints. Heavy rains and labour shortages reduced Malaysian yields, while Indonesian exports slowed, making Malaysia the primary supplier for Indian refiners. Aggressive pre-Diwali buying pushed prices sharply higher through October and November.

However, demand destruction emerged in December as elevated costs discouraged further imports, triggering a modest late-quarter dip. The quarter revealed how seasonal spikes in Indian consumption can amplify global supply tightness, especially when alternative sources are limited. RBD Palm Kernel oil closed Q4 with average prices of USD 2,054 per metric ton CIF Nhava Sheva. 

RBD Palm Kernel Oil prices jumped 23.1% in Q3 2024, signalling a strong recovery from mid-year lows. The rally was driven by tight kernel supplies from Indonesia and production challenges at Malaysian crushing plants, which created localized supply bottlenecks. Prices gained further momentum as European chocolate manufacturers secured volumes ahead of the winter season, reinforcing demand.

By late September, however, buyer resistance surfaced at elevated price levels, slowing the pace of increases. This quarter highlighted how downstream demand cycles can amplify market tightness, particularly when supply disruptions coincide with seasonal procurement spikes. RBD Palm Kernel Oil prices closed Q3 with an average of USD 1,361 per metric ton FOB Port Kelang. 

Palm Kernel Oil prices rose 18.3% QoQ amid post-monsoon restocking in India and export restrictions from Malaysia. Anticipating tighter Q4 supplies, Indian refiners accelerated imports despite higher costs, securing early contracts to hedge against further volatility. Malaysia’s ongoing production challenges, particularly labour shortages, limited shipments and created localized supply squeezes.

The resulting price rally lifted Indian inventories to four-month highs by quarter-end, reducing immediate demand pressure for the following quarter. This period demonstrated how proactive buying strategies can shield Indian refiners from escalating costs in a tightening market. RBD Palm Kernel oil concluded Q3 with an average of USD 1,413 per metric ton CIF Nhava Sheva. 

Palm Kernel Oil prices fell 7.3% in Q2 2024, reflecting a correction from Q1 peaks amid improved kernel crushing activity and subdued demand. The market traded within a narrow range for most of the quarter, as balanced fundamentals kept sharp movements in check.

Competitive coconut oil imports further limited upside potential, while cautious buying from China’s personal care sector added to the muted tone. Despite this, late-quarter signs of tightening emerged as Malaysian production entered its seasonal low period, hinting at a possible reversal ahead.

The quarter demonstrated the interplay of regional production trends and demand elasticity. RBD Palm Kernel oil ended the quarter with an average of USD 1,129 per metric ton FOB Port Kelang. 

RBD Palm Kernel Oil prices rebounded 22.1% QoQ as India’s pre-monsoon buying coincided with Malaysia’s export recovery. Indian importers took advantage of lower Malaysian offers before seasonal duty-free import windows closed, leading to a strong offtake surge. While Malaysian palm oil stocks remained high, rising crude palm oil costs constrained refinery margins, preventing deeper discounts.

Demand from India’s industrial non-edible sectors added support, offsetting weaker trends in other Asian markets. The quarter highlighted India’s role as a stabilizing demand center during periods of Malaysian oversupply. RBD Palm Kernel oil concluded Q2 2025 with prices averaging USD 1,219 per metric ton CIF Nhava Sheva. 

Palm Kernel Oil rose 6.8% in Q1 2024, supported by post-monsoon restocking and recovering demand from Indian soap manufacturers. Prices maintained a steady upward trajectory through February, reflecting tightening supplies from Indonesia’s kernel crushing plants.

The market also witnessed an early divergence from broader palm oil trends, with PKO sustaining stronger price support due to its niche applications in premium consumer products.

Profit-taking in late March capped gains, yet sentiment remained firm as participants anticipated further supply constraints in the coming months. This quarter set the tone for a more volatile year ahead. RBD Palm Kernel Oil prices closed Q1 with an average of USD 854 per metric ton FOB Port Kelang. 

RBD Palm Kernel Oil prices gained 8.7% QoQ, defying weak seasonal trends as India’s restocking appetite and Malaysia’s slow production recovery tightened supply. Indian buyers rebuilt inventories after a low-stock 2023, driving early-quarter firmness. Malaysia’s export tax policies further constrained availability, keeping prices supported despite muted Chinese demand.

This quarter marked the beginning of a sustained uptrend, setting the tone for stronger market fundamentals ahead. By the end of the quarter, Indian refiners emerged as key price influencers amid limited global buying interest. Q1 concluded with RBD Palm Kernel oil prices averaging USD 915 per metric ton CIF Nhava Sheva, closing at USD 1,034 per metric ton. 

Technical Specifications of Palm Kernel Oil Price Trends

Product Description

Palm Kernel Oil (Refined, Bleached, and Deodorized Palm Kernel Oil) is a premium-quality vegetable oil derived from the kernel (seed) of the oil Palm fruit. After mechanical extraction, the Crude Palm Kernel oil undergoes refining processes, removal of impurities, bleaching, and deodorization to produce a clean, odorless, and light-colored oil suitable for a wide range of industrial and consumer applications.

It is extensively used in the production of soaps, detergents, oleochemicals (like Fatty acids and Glycerin), personal care products, and food formulations. Palm Kernel Oil has excellent oxidative stability, high lauric acid content, and desirable melting properties, making it valuable for both domestic processing and export markets.

Identifiers and Classification:

  • CAS No: 8023-79-8
  • HS Code: 15132910 (or classified under 1513 series regionally for Palm Kernel oil)
  • Molecular Formula: Varies; primarily composed of triglycerides of lauric, myristic, and oleic acids (C₅₇H₁₀₄O₆ typical)
  • Molecular Weight [g/mol]: ~806–880 g/mol (approx. for common triglyceride structures)


Synonym:

  • Refined Palm Kernel Oil
  • RBD PKO
  • RBD Palm Kernel Olein


Palm Kernel Oil Grades Specific Price Assessment:

  • RBD Palm Kernel Oil


Palm Kernel Oil Global Trade and Shipment Terms

  • Quotation Terms (Product & Country Specific): 24-26 MT
  • Packaging Type (Product & Country Specific): ISO Tank


Incoterms Referenced in Palm Kernel Oil Price Reporting

Shipping Term  Location  Definition 
FOB Port Kelang  Port Kelang, Malaysia  Palm Kernel Oil Export price from Malaysia 
CIF Nhava Sheva (Malaysia)  Nhava Sheva, India  Palm Kernel Oil Import price in India from Malaysia 
CIF Shanghai (Malaysia)  Shanghai, China  Palm Kernel Oil Import price in China from Malaysia 
CIF Tokyo (Malaysia)  Tokyo, Japan  Palm Kernel Oil Import price in Japan from Malaysia 
CIF Houston (Malaysia)  Houston, USA  Palm Kernel Oil Import price in USA from Malaysia 
CIF Sharjah (Malaysia)  Sharjah, UAE  Palm Kernel Oil Import price in UAE from Malaysia 

*Quotation Terms refers to the quantity range specified for the Palm Kernel Oil being quoted or offered in a commercial transaction.

**Packaging Type refers to standard packaging size commonly used for Palm Kernel Oil packing, ease of handling, transportation, and storage in industrial and commercial applications.

Key Palm Kernel Oil Manufacturers

Manufacturer 
Musim Mas Holdings 
IOI Corporation Berhad 
Kuala Lumpur Kepong Berhad (KLK) 
Sime Darby Plantation Berhad 
SALCRA (Sarawak Land Consolidation and Rehabilitation Authority) 
Keck Seng Group 
PGEO Group 

Palm Kernel Oil Industrial Applications

palm kernel oil market share end use

Historically, several events have caused significant fluctuations in Palm Kernel Oil prices

Climate and Farming Impact – (2024) 

Unseasonal rainfall in Malaysia and drought concerns in parts of Indonesia impacted kernel yields and oil extraction rates. The resulting lower output coincided with strong international demand, pushing prices upward. Additionally, sustainability certifications and traceability requirements affected export volumes to the EU, contributing to further price fluctuations. 

Feedstock & Logistic Disruptions – (2023) 

Prices were influenced by weather-related disruptions in Southeast Asia, port congestion, reduced vessel availability, and fluctuating crude palm kernel oil (CPKO) prices. High inflation and lower inventory levels in major importing countries also added pressure, while regulatory changes in exporting countries led to temporary supply shortages. 

Russia-Ukraine War – (2022) 

The war led to a sharp rise in global edible oil prices, particularly sunflower oil. As a substitute, demand for Palm Kernel Oil increased significantly, especially in Europe and South Asia. The geopolitical crisis also drove up fertilizer and energy prices, increasing production costs and fueling further price hikes in the palm oil sector. 

Post-COVID Demand Recovery – (2021) 

As economic activity resumed, demand for Palm Kernel Oil surged, particularly in food processing, soap manufacturing, and cosmetics. With increased consumer demand and export orders from China and India, prices rebounded sharply. Tight labor availability in Malaysia and Indonesia also slowed production recovery, contributing to rising prices. 

The COVID-19 Pandemic – (2020) 

Global lockdowns and labour shortages severely disrupted palm oil plantation operations and refining activities, including Palm Kernel Oil. The supply chain was further impacted by port closures and restricted transportation. As demand from the food and personal care sectors dropped temporarily, many processors operated at reduced capacities, causing a temporary oversupply and price volatility. 

Why Price Watch™?

Price Watch™ is your trusted resource for tracking global palm kernel oil price trends. Our platform delivers real-time data and expert analysis, offering deep insights into the key factors driving price fluctuations in the palm kernel oil market. By monitoring critical events such as geopolitical tensions, supply chain disruptions, and economic shifts, Price Watch™ keeps you fully informed of market dynamics.

In addition, Price Watch™ provides detailed forecasts and updates on production capacities, enabling you to anticipate market changes and make well-informed decisions. With Price Watch™, you gain a competitive edge in understanding all the elements that influence palm kernel oil prices worldwide. Stay ahead of the curve with Price Watch’s™ reliable, accurate, and timely palm kernel oil market data.

Track Price Watch's™ palm kernel oil price assessment on a weekly basis since 2015 onwards, along with short-term forecasts, and get access to the detailed report in a downloadable format.

Palm Kernel Oil Market Price Trend published by Price Watch™ reflect prevailing spot market conditions, derived from independent research, verified trade inputs, and proprietary market intelligence as of the publication date. Prices are published on the specified Incoterm and represent indicative base market levels, exclusive of applicable taxes, VAT, duties, tariffs, and other statutory charges. Actual transaction values may vary depending on volume, credit terms, contractual structure, and other negotiated conditions. Market prices are inherently subject to volatility, liquidity dynamics, regulatory changes, and evolving trade activity. The information provided is for reference and benchmarking purposes only and does not constitute an offer, recommendation, or guarantee of transactional outcomes. Users should exercise independent commercial judgment and assess their specific contractual, regulatory, tax, and application requirements before making business decisions. Price Watch™ assumes no liability for decisions taken based on this information.

Palm Kernel Oil pricing is influenced by multiple interrelated factors. Chief among them are crude palm oil price trends, which directly affect derivative product values. Demand from industries such as oleochemicals, food processing, and cosmetics also drives price movements.

On the supply side, harvest yields, weather conditions, and processing capacities significantly affect availability. Additionally, global trade policies, export tariffs, and currency fluctuations contribute to price volatility.

Monitoring these elements provides insight into market dynamics and aids in forecasting. Engaging with analysts and staying updated on industry reports enhances procurement strategy and price risk management.

To negotiate favourable pricing for Palm Kernel Oil, procurement professionals should leverage comprehensive market knowledge and data-driven insights. Establishing long-term contracts can secure volume discounts and price stability.

Considering alternative oils or suppliers enhances bargaining leverage. Building strong supplier relationships based on trust, transparency, and mutual benefit fosters more collaborative negotiations. Bulk purchases, flexible delivery schedules, and prompt payments can also yield better terms.

Additionally, aligning procurement timelines with seasonal lows in market prices contributes to cost efficiency. Strategic negotiation, grounded in research and relationship management, ensures more favourable procurement outcomes over time.

Palm Kernel Oil procurement involves various risks including price volatility, supply disruptions, and inconsistent product quality. Prices may fluctuate due to crude palm oil market dynamics, geopolitical factors, or changing global demand.

Supply risks arise from weather-related issues, transportation delays, or regional instability. Quality variations can affect end-product performance. To mitigate these, buyers should hedge using futures or forward contracts, diversify sourcing across multiple suppliers or geographies, and enforce strict quality control measures.

Regular audits, third-party certifications, and laboratory testing ensure product integrity. A proactive, multi-layered risk management strategy ensures procurement resilience and business continuity.

Palm Kernel Oil (PKO) is a versatile vegetable oil extracted from the kernel of the oil palm fruit. It is widely used in the production of edible products, cosmetics, personal care items, soaps, and industrial chemicals. PKO is also an important feedstock for biodiesel and other renewable fuels.

Its price directly influences the cost of a wide range of everyday products, including cooking oils, confectionery, detergents, candles, and lubricants, making PKO a critical component in global food supply chains and the circular economy. Price-Watch™ tracks these prices to help businesses and consumers understand and stay updated with the market trends.

Palm Kernel Oil prices vary by grade and region. Prices are typically quoted per metric ton and change based on supply, demand, and seasonal changes. Price-Watch™ provides real-time price assessments across different global markets to help buyers and sellers make informed decisions.

PKO prices fluctuate with changes in production, weather, logistics costs, and demand from food, oleochemical, and biodiesel industries. Regulatory measures, sustainability certifications, and trade policies also strongly influence pricing.

Seasonal harvest variations, supply chain disruptions, and competition with other vegetable oils further shape trends. Demand is expected to grow, driven by food consumption, renewable fuels, and circular-economy initiatives.

The largest buyers of PKO are food manufacturers, followed by oleochemical companies producing soaps, detergents, and personal care products. Additional demand comes from biodiesel and renewable fuel producers, industrial users, lubricant and specialty chemical manufacturers, with trading companies and exporters handling significant volumes for global markets. Price-Watch™ analyses demand patterns across all these industries.

Palm Kernel Oil is derived from the kernel (seed) of the oil palm fruit, which grows on the oil palm tree (Elaeis guineensis). The fruit itself has two main parts: the outer fleshy part, which yields Crude Palm Oil (CPO), and the inner seed or kernel, which yields PKO.

After harvesting, the fruit is processed in mills to separate the kernels from the fruit, and the kernels are then crushed or pressed to extract the oil. PKO is primarily produced in tropical regions, with Indonesia, Malaysia, Thailand, and some African countries being the largest producers.

Palm Kernel Oil (PKO) trade is driven by production volumes, sustainability certification, and access to food, oleochemical, and biofuel markets. Indonesia and Malaysia are the world’s largest producers and exporters, with the Netherlands, Singapore, and India serving as major trading and transshipment hubs.

Export volumes fluctuate based on harvest yields, weather conditions, regulatory compliance (such as RSPO certification), domestic consumption, and global demand from food, personal care, and renewable fuel industries. Price-Watch™ tracks production levels, export flows and trade patterns to help businesses understand global supply chains and identify sourcing opportunities.

Supply generally matches demand, but regional shortages can occur due to plant shutdowns, transportation problems, or sudden spikes in industrial activity. Price-Watch™ monitors these supply-demand imbalances to alert the market about potential shortages or surpluses.

Palm Kernel Oil (PKO) is mainly traded in two grades: crude and refined. Crude PKO is the unprocessed oil extracted from palm kernels, while refined PKO has been processed to remove impurities and improve quality, making it suitable for food, personal care, and industrial uses.

Prices differ because refined PKO commands a premium due to its higher quality and wider range of applications, while crude PKO is cheaper and requires further processing before use. Price-Watch™ provides separate price assessments for each grade to ensure market transparency.

When PKO demand rises rapidly, often driven by higher food, oleochemical, or biofuel production, prices typically increase. Suppliers may prioritize long-term or certified buyers, while others face tighter availability, longer lead times, or higher premiums to secure quality or sustainably sourced PKO. Price-Watch™ captures these market dynamics in real-time.

Processing and logistics are among the largest cost components for PKO. When energy, transportation, or labour costs rise, producers and traders often pass these costs on to buyers, making PKO more expensive.

This is why prices in regions with lower production and transport costs such as areas with cheaper electricity or efficient milling infrastructure tend to be lower, a correlation that Price-Watch™ analyses in its price assessments & market reports.

PKO prices vary by region based on production volumes, transportation costs, regulatory requirements, and local demand from food, oleochemical, and biofuel industries. Areas with lower yields, higher logistics expenses, or stricter sustainability regulations typically see higher prices due to added processing, certification, and transport costs. Price-Watch™ tracks prices across all major regions to highlight these differences.

The PKO market outlook depends on factors such as growth in food, oleochemical, and biofuel demand, renewable fuel and sustainability policies, production volumes, logistics and processing costs, and compliance with certification standards.

Price-Watch™ regularly publishes detailed forecasts that project price movements for the next 12 months based on comprehensive analysis of supply additions, demand growth in key industries, seasonal patterns, and macroeconomic indicators. Our forecasts help businesses anticipate market conditions and plan accordingly.

Absolutely. Accurate forecasting allows you to time your purchases better, negotiate contracts more effectively, and budget more accurately. If Price-Watch™ forecasts predict a price increase in three months, you might choose to stock up now or lock in long-term contracts at current rates, potentially saving thousands of dollars.

Events such as natural disasters, trade disputes, mill accidents, or economic downturns can disrupt PKO production or shipping routes, leading to supply shortages and price spikes. For example, extreme weather in Southeast Asia, export restrictions, or regional economic crises have historically caused significant volatility in PKO markets. Price-Watch™ provides timely alerts when such events affect the market.

Price-Watch™ collects data from manufacturers, distributors, and buyers worldwide to publish regular price assessments, market reports, and forecasts. Our transparent methodology and comprehensive coverage make us a trusted source for understanding fair pricing and market trends in the PKO industry.

Access Real-Time Palm Kernel Oil Price Trends
Access Real-Time Palm Kernel Oil Price Trends