InfoSAWIT, KUALA LUMPUR — Palm oil prices fell below RM4,000 per tonne, hitting their lowest level in nearly three weeks, as weak Malaysian exports and declining soybean oil prices weighed on the market.

Soybean oil—palm oil’s closest rival—fell 1.2% after three consecutive days of losses, while soybean prices dropped to a six-week low amid uncertainty over China’s purchase commitments.

Data from Intertek Testing Services showed Malaysian palm oil exports declined 16% month-on-month in early December, underscoring fragile demand.

“I suspect demand may not be as strong as the market expects during the festive season,” said Budiman Suwardi, Head of Treasury and Markets at Prime EcoHarvest Commodities.

Adding pressure, the strengthening Malaysian ringgit is expected to outperform regional peers for a second straight year, potentially reducing the appeal of ringgit-denominated palm oil for overseas buyers. (T2)