Malaysia Palm Oil Stockpiles May Surge to Largest in Three Years

  • September inventories seen rising 8% from prior month: survey
  • Prices may stay volatile amid rising supplies, macro headwinds

Malaysia’s production rose about 2.3% in September to a two-year high of 1.77 million tons.

Photographer: Samsul Said/Bloomberg
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Palm oil inventories in Malaysia likely climbed to their biggest in nearly three years after rising production in the world’s second-largest grower outpaced a recovery in export demand.

Stockpiles jumped about 8% in September from a month earlier to 2.26 million tons, according to the median of 10 estimates in a Bloomberg survey of analysts, traders and plantation executives. That would be the fourth straight monthly increase, lifting reserves to their highest since October 2019.