According to data from the South Malaysia Palm Oil Association (SPPOMMA), from December 1st to 31st, 2025, the palm oil production in South Malaysia decreased by 8.07% month on month, with a 7.39% decrease in fresh fruit skewer yield and a 0.13% decrease in oil yield (OER).

According to data from the South Malaysian Palm Oil Association (SPPOMMA), palm oil production decreased by 8.07% month on month in December 2025, with a 7.39% decrease in fresh fruit skewer yield and a 0.13% decrease in oil yield (OER). This indicates a significant contraction in the supply side, with a production decline of over 8%, coupled with a decrease in oil production rate, further reducing effective supply and creating a strong positive impact on spot prices. As a major global production area, the reduction in supply in South Malaysia will exacerbate market supply and demand tension, pushing up palm oil spot prices.

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