Indonesia and Malaysia are expected to produce less palm oil in 2027 as prolonged dry weather caused by a strong El Niño will depress yields next year, tightening global supplies and lifting prices.
Source: [Bloomberg Markets](https://www.bloomberg.com/news/articles/2026-09-25/el-nino-set-to-crimp-palm-oil-output-in-2027-squeezing-supply)