Market Insight
04 September 2025
Palm Oil Derivatives Market Outlook: August 2025 Insights
Palm Derivatives

Table of Content
- Rising Prices Amid Biofuel-Driven Demand
- Sustainability and Policy Shaping Market Preferences
Market Insight
04 September 2025
Palm Derivatives
As the global demand for palm oil derivatives continues to evolve, Tradeasia International has remained at the forefront, supplying reliable palm and oleochemical solutions to industries worldwide. For businesses navigating the dynamic landscape of RBD Palm Olein, Stearin, and Palm Acid Oil, staying informed on pricing, policy impacts, and sustainability trends is essential to remain competitive.
"Partnering with Tradeasia ensures seamless access to premium palm derivatives, enabling companies to adapt swiftly to market shifts."
In August 2025, the market experienced notable price fluctuations across key palm oil derivatives. RBD Palm Olein prices ranged from USD 972-1060/MT in Indonesia to USD 1088-1150/MT in Malaysia, with India seeing values between USD 1120-1627/MT depending on regional supply and demand dynamics. Meanwhile, RBD Palm Stearin and Palm Acid Oil also saw upward trends, largely driven by tighter supplies and heightened demand from biofuel initiatives. Notably, Indonesia’s B40 biodiesel mandate has redirected significant volumes of palm oil derivatives toward domestic consumption, creating pressure on export availability and elevating global prices. This policy-driven shift underscores the intricate balance between fulfilling biofuel commitments and maintaining sufficient supply for oleochemical and food sectors worldwide.
Export trends reflect the strategic priorities of major producers like Indonesia and Malaysia, where domestic policies increasingly favor consumption over export. Mechanisms such as export levies and reference pricing are being used to ensure both competitive exports and adherence to biofuel mandates. At the same time, sustainability certifications—RSPO, ISPO, and MSPO—have gained prominence, influencing both market access and pricing. Certified derivatives are commanding premium prices and are preferred by companies aiming for 100% certified supply chains by 2030. As businesses integrate ESG considerations into procurement strategies, certified palm derivatives not only fulfill regulatory requirements but also enhance brand credibility in environmentally conscious markets.
The August 2025 landscape of palm oil derivatives highlights a market shaped by biofuel-driven domestic consumption, tighter export supplies, and rising demand for certified sustainable products. Companies that align their sourcing strategies with these trends, leveraging partners like Tradeasia International, can navigate volatility more effectively while tapping into premium market opportunities.
Sources:
CME Group's Palm Oil Monthly Update – August 2025 - https://www.cmegroup.com/newsletters/monthly-palm-oil-report/august-2025-palm-oil-update.html
Palm Chemicals' CPO Price Surge August 2025 - https://www.palm-chemicals.com/blog/cpo-price-surge-august-2025-downstream-impact
Oleochemicals Asia's Market Insights - https://www.oleochemicalsasia.com/market-insights/cpo-palm-acid-oil-b40-price-supply-chain-august-2025
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