JAKARTA: The Council of Palm Oil Producing Countries (CPOPC) forecasts palm oil prices could range between RM4,000 and RM5,000 per tonne in 2025, driven by stagnating production in key markets, particularly Indonesia and Malaysia.

"As global demand for palm oil grows, stagnating production is likely to result in a supply shortage, driving prices higher," CPOPC deputy secretary-general Datuk Nageeb Wahab told Bernama on Friday.

He noted that the current price level of around RM5,000 per tonne might be temporary, largely influenced by Malaysia's ongoing floods, which have bolstered bullish market sentiment.

Nageeb also highlighted that the stagnation in production, exacerbated by ageing plantations, unpredictable weather, and limited expansion into new plantation areas, is expected to strain global supply, further pushing prices upward.

Regarding CPOPC's membership, Nageeb revealed that the council currently includes Malaysia, Indonesia, Honduras, and Papua New Guinea as full members, with Colombia, Ghana, Nigeria, and the Democratic Republic of Congo as observer members.

Efforts are underway to bring Thailand, the world's third-largest palm oil producer, into the fold, and if successful, the member nations would control 93 to 95 per cent of global palm oil production, significantly strengthening their influence in the market.

"Then we will have a stronger voice," Nageeb added.

Established on November 21, 2015, CPOPC is an intergovernmental organisation dedicated to promoting cooperation among palm oil

 -producing nations.