InfoSAWIT, JAKARTA – Indonesia's crude palm oil (CPO) reference price at PT Kharisma Pemasaran Bersama Nusantara (KPBN) edged lower on Friday (July 3), mirroring weaker sentiment in the Malaysian palm oil futures market amid expectations of higher production and rising inventories.

According to market data obtained by InfoSAWIT from KPBN, the CPO price was set at Rp15,485 per kilogram, down Rp60/kg, or approximately 0.39%, from Rp15,545/kg recorded on Thursday (July 2).

For regional delivery points, Franco Dumai was priced at Rp15,485/kg, FOB Talang Duku at Rp15,285/kg, and Franco Teluk Bayur at Rp15,355/kg.

The softer domestic pricing followed continued weakness in Malaysia's benchmark palm oil futures. Reuters reported that the benchmark September 2026 CPO contract on the Bursa Malaysia Derivatives Exchange fell RM7 per tonne, or 0.16%, to RM4,499 per tonne during the midday trading session. The benchmark contract has declined around 1.4% so far this week, weighed down by expectations of stronger output and higher stock levels.

Elsewhere in the vegetable oils market, the most active soybean oil contract on China's Dalian Commodity Exchange slipped 0.2%, while the exchange's palm oil contract dropped a steeper 0.95%. Trading on the Chicago Board of Trade (CBOT) was closed due to the U.S. Independence Day holiday.

KPBN's latest tender prices (excluding VAT) also showed Loco PKS Parindu & Ngabang at Rp15,135/kg and Loco PKS Kembayan at Rp15,035/kg, while no bidders were recorded for Loco Luwu.

Meanwhile, Palm Kernel Oil (CPKO) FOB Palembang was priced at Rp29,100/kg. Palm kernel (PK) prices reached Rp12,772/kg at Loco PKS Bunut, while the highest offer for PK at PKS Talang Lebar stood at Rp11,600/kg. (T2)