InfoSAWIT, KUALA LUMPUR – Malaysia’s palm oil inventories declined in February 2026 as both production and exports weakened, according to official data released by the Malaysian Palm Oil Board (MPOB).

The industry report showed that palm oil stocks fell 3.9% to 2.70 million tons in February, down from 2.82 million tons in January.

“Production of crude palm oil (CPO) declined 18.6% to 1.28 million tons from 1.58 million tons in the previous month,” MPOB stated in the report, as cited by InfoSAWIT on Thursday (March 12, 2026).

Exports also dropped sharply during the month. MPOB reported that Malaysia’s palm oil shipments fell 22.5% to 1.13 million tons in February, compared with 1.45 million tons in January.

“The decline in exports reflects slower global demand and supply adjustments at the start of the year,” the report noted.

According to Reuters, market participants had previously estimated Malaysia’s February palm oil stocks at around 2.63 million tons.

The Reuters survey also projected CPO production at about 1.3 million tons and exports at around 1.18 million tons.

However, MPOB data showed that both production and exports came in slightly below market expectations, while stock levels were higher than analysts had forecast. (T2)