Malaysia: Oilseeds and Products Update

Malaysia’s palm oil production is forecast at 19.5 million metric tons (MT) in MY2025/26, with export estimates rising to 16.2 million MT as demand in African markets grows and Indonesia’s B40 mandate limits regional supply. Structural challenges persist, with replanting at only 1.8 percent versus the 4 percent target, though mechanization and research and development are improving yields. For MY2025/26, soybean imports are projected at 715 thousand MT, while soybean meal consumption climbs to 1.69 million MT, driven by poultry feed as African Swine Fever (ASF) continues to weaken swine demand. Soybean oil output estimate in MY2025/26 remains modest at 89 thousand MT with flat consumption in a competitive oilseeds market dominated by palm oil.