MPOB will introduce a used cooking oil reference price in Q1 2026 to guide fair trading and support a sustainable market, says minister.
KUALA LUMPUR: The Malaysia Palm Oil Board (MPOB) will introduce an official used cooking oil (UCO) reference price in the first quarter of 2026.
Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad said the benchmark will provide clear price guidance and support fair trading.
She stated it will protect small players from price manipulation and fraud, marking an important step towards a more orderly and sustainable UCO market.
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“UCO plays an important role in this transition, particularly for downstream uses such as biofuels and palm-based chemical products,” she said.
Noraini added that MPOB continues to strengthen governance and market oversight to ensure UCO is managed safely.
She was speaking at the launch of the Palm Oil Economic Review and Outlook Seminar 2026.
Meanwhile, Noraini said the average crude palm oil price increased by 2.7% to RM4,292 per tonne in 2025 from RM4,179 per tonne in 2024.
Export revenue for palm oil and palm-based products is expected to exceed RM100 billion in 2025.
Crude palm oil production is also approaching 20 million tonnes for the year.
“This is a strong achievement,” she said, noting future competitiveness depends on higher productivity, sustainability assurances, and faster innovation adoption.
On prospects, Noraini opined that Malaysia’s palm oil outlook remains positive.
The priority is to strengthen productivity, sustainability and adaptability together.
She said Malaysia must focus on quality, sustainability and traceability rather than volume alone.
The government will therefore continue to strengthen its assurance system to keep Malaysian palm oil trusted and competitive.
“I am very confident that the Malaysian oil palm industry has a strong and resilient future,” she added.
Noraini stated that growth must go hand in hand with sustainability, inclusiveness and innovation.
This requires close cooperation between the government, industrial players, researchers and smallholders.
The R&O seminar was organised by MPOB with the theme “Securing the Future of Palm Oil in a Changing Global Economy”.
It brought together more than 400 industry experts and academicians to discuss 2025 market performance and 2026 potential.
The event also saw the launch of a booklet titled “Small Bites, Big Impact – The Red Palm Oil Biscuit Story”.
The booklet highlights findings from a red palm oil supplementation study conducted by MPOB in collaboration with the University of Malaya. – Bernama
