Malaysian palm oil futures fell by around 3% to below MYR 4,250 per tonne, marking their third consecutive decline and reaching the lowest levels since late October due to weak export demand. Reports from cargo surveyors indicated that shipments during January 1-15 are expected to decrease by 15.5% to 23.7% compared to the same period in December. In India, the largest buyer, palm oil imports dropped 41% month-on-month in December, hitting a nine-month low due to cheaper alternatives among other edible oils. Additionally, overall demand in the first quarter is predicted to remain weak, despite a possible boost in consumption during the Lunar New Year in China. Traders are cautiously awaiting key economic data from China, including Q4 GDP, industrial output, and retail sales. On the supply side, December industry reports revealed a third consecutive decline in inventories and an 8.3% drop in production. However, the Malaysian Palm Oil Board highlighted concerns over tight global supply for the year, driven by Indonesia’s B40 mandate, a projected increase in US biodiesel demand, and potential changes in US crop production.