Currently, both the production volume and inventory in Malaysia have dropped to the lowest levels in nearly three years. In the short term, the low inventory at the production source still provides support for the price. Before the release of the monthly report by the Malaysian Palm Oil Board (MPOB), according to data surveys by foreign media, due to the disruption of the harvesting progress caused by floods, Malaysia's palm oil inventory in February is expected to decline to the lowest level in nearly three years. Additionally, Malaysia may experience a reduction in production this year due to replanting and weather factors. The tight supply expectation also plays a supporting role in the price.

Forecast: On the production source side, the progress of raw material harvesting was slowed down earlier due to the floods in Southeast Asia. The market has a bullish expectation for the monthly supply and demand report to be released by the Malaysian Palm Oil Board (MPOB) next Monday. The tight supply will still support the price of kernel oil, and the cost pressure on domestic fatty alcohol factories remains unabated. In terms of the supply situation of fatty alcohols themselves, the spot supply in the fatty alcohol market is currently in short supply. Most of the new orders of factories are scheduled until April, and the prices are firm. The tight supply gives confidence in price increases, and the prices are expected to consolidate in a relatively strong manner. At present, the downstream market has a general acceptance of high prices. Only orders for rigid demand are replenished at appropriate prices in the market, and it is difficult for actual order transactions to see a significant increase. It is expected that the prices of fatty alcohols will fluctuate and consolidate in a relatively strong manner in the short term. Pay attention to the follow-up situation of raw materials and demand.