InfoSAWIT, JAKARTA – Indonesia's crude palm oil (CPO) market remained cautious on Tuesday as trading at PT Kharisma Pemasaran Bersama Nusantara (KPBN) ended with another series of withdrawn tenders, despite higher bid prices compared to the previous session.

The highest bid for CPO reached Rp15,488 per kilogram, an increase of Rp126/kg or 0.82% from Monday's top offer of Rp15,362/kg. However, sellers chose not to conclude transactions, resulting in all major CPO tenders being withdrawn.

According to KPBN tender data obtained by InfoSAWIT, the Franco Dumai tender opened at Rp15,650/kg, but the highest bid stopped at Rp15,488/kg, prompting a withdrawal. Similar outcomes were recorded at FOB Talang Duku, where offers opened at Rp15,520/kg but attracted a maximum bid of Rp15,314/kg, while Loco PKS Parindu & Ngabang opened at Rp15,300/kg before ending with a top bid of Rp15,138/kg.

The cautious sentiment in Indonesia mirrored developments in the regional futures market.

According to Reuters, the benchmark September 2026 crude palm oil contract on the Bursa Malaysia Derivatives Exchange closed virtually unchanged, slipping just RM1 per tonne, or 0.02%, to RM4,549 per tonne.

Market participants found support from stronger competing vegetable oils and concerns over potential production disruptions linked to El Niño, although these gains were largely offset by the strengthening Malaysian ringgit.

Elsewhere in Asia, edible oil markets posted firmer performances. The most active soybean oil futures contract on China's Dalian Commodity Exchange rose 1.31%, while Dalian palm oil futures advanced 1.53%. Meanwhile, soybean oil futures on the Chicago Board of Trade (CBOT) edged 0.14% higher, providing additional support to global vegetable oil prices.

Despite improving external market signals, Indonesian physical CPO trading remained subdued as sellers withheld supplies, indicating expectations for stronger prices in the coming sessions. (T2)