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Palm Fatty Acid Distillate (PFAD) Price Trend Analysis 2026: Market Insights, Latest News, Historical Prices, Price Drivers & Supply Demand Analysis

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Palm Fatty Acid Distillate (PFAD) Price Trend 2025

Product Category Region Price Last Updated Month
Palm Fatty Acid Distillate (PFAD) Agriculture, Farming and Commodity USA USD 2191 September 2025

Stay updated with the latest Palm Fatty Acid Distillate (PFAD) prices, historical data, and tailored regional analysis
 

Throughout 2025, PFAD prices moved within a shifting landscape shaped by changes in supply levels, refined output, and policy decisions in major producing and buying regions. At the beginning of the year, prices stayed fairly steady as producers worked with manageable inventories and buyers maintained routine purchasing. Market activity was calm, and most participants avoided aggressive moves, which helped keep early-year values stable.

As the year progressed, conditions gradually turned softer. Large stockpiles started to build up, especially in key hubs where production increased faster than consumption. This created steady downward pressure on PFAD, as available volumes were more than enough to meet regular demand. Trade sentiment also weakened when buyers adopted a wait-and-see approach, hoping for better opportunities as overall palm-related markets eased.

Mid-year, some temporary support appeared when certain regions saw stronger import interest for palm-based materials, but this did not last long. Buyers often already held comfortable stocks, and downstream sectors were slow to expand their requirements. As a result, PFAD values continued to drift lower. Later in the year, rising inventories and stable but unexciting export activity kept the market subdued. Even though some seasonal restocking took place, it was not strong enough to reverse the overall soft tone. By the end of 2025, PFAD prices reflected a year shaped by plentiful supply, cautious trading behaviour, and muted consumption growth.

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In the second half of 2024, PFAD prices moved higher as the overall palm oil market stayed tight and demand remained strong across many regions. Supplies from major producing countries grew slowly, and weather issues and ageing plantations limited output.

At the same time, domestic use in key producing nations increased, especially for fuel blending, which further reduced the amount available for export. These conditions created a firm base for PFAD throughout the period.

In Asia, strong buying interest continued from industries that used palm-based inputs in food, chemicals, and cleaning products. Importers also dealt with lower stock levels and slower shipments, as producers focused more on meeting local needs.

As a result, PFAD followed the upward movement seen in other refined palm-based materials during H2. Many buyers preferred advance bookings to secure supply, fearing further tightening later in the year.

Europe also recorded steady gains. Higher freight costs and strict sourcing requirements added extra pressure, while stable demand from downstream sectors supported values. Traders managed inventories carefully, but the reduced flow from Asia kept prices on the firmer side.

North America experienced similar trends. Importers increased stockpiles as transport expenses climbed and as related edible oils strengthened globally. With end-users showing solid and steady demand, PFAD prices stayed on an upward path through the second half of the year.

About PFAD

PFAD or better known as palm fatty acid distillate is a by-product formed in the refining of palm oil for the food industry. PFAD appears as a light brown semi-solid substance at room temperature, which further melts into a brown liquid upon heating. PFAD primarily contains free fatty acids (FFA) (>80%) which include oleic, stearic, and palmitic components.

Production of food-grade oil from palm oil utilises distilling of palm oil as it improves the oil's taste, colour, odour, and shelf life. Thus, PFAD consists of degraded fats that are undesired and need to be removed to meet the food industry’s quality standards.

Palm Fatty Acid Distillate (PFAD) Product Detail

Molecular Weight
124.11g/mol 
Industrial Uses

Soaps, Fatty Acids and Fatty Alcohols, Animal Feed, Hardened Oils, Candles, Fragrance Ingredients, Intermediates

Synonyms

Palm Fatty Acid Distillate

Supplier Database

Wilmar International, PT TUNAS BARU LAMPUNG Tbk., Sarawak Oil Palms Berhad Group, Nuansa Kimia Sejati, PT, Future Prelude Sdn Bhd

Regional Coverage

Asia Pacific

China, India, Indonesia, Pakistan, Bangladesh, Japan, Philippines, Vietnam, Iran, Thailand, South Korea, Iraq, Saudi Arabia, Malaysia, Nepal, Taiwan, Sri Lanka, UAE, Israel, Hongkong, Singapore, Oman, Kuwait, Qatar, Australia, and New Zealand

Europe

Germany, France, United Kingdom, Italy,Spain, Russia, Turkey, Netherlands, Poland, Sweden, Belgium, Austria, Ireland Switzerland, Norway, Denmark, Romania, Finland, Czech Republic, Portugal and Greece

North America

United States and Canada

Latin America

Brazil, Mexico, Argentina, Columbia, Chile, Ecuador, and Peru

Africa

South Africa, Nigeria, Egypt, Algeria, Morocco

CurrencyUS$ (Data can also be provided in local currency)

Supplier Database AvailabilityYes

Customization ScopeThe report can be customized as per the requirements of the customer

Post-Sale Analyst Support360-degree analyst support after report delivery

Note: Our supplier search experts can assist your procurement teams in compiling and validating a list of suppliers indicating they have products, services, and capabilities that meet your company's needs.

PFAD Production Processes

  • Production of PFAD via Refining and Distilling of Palm Oil

In this process, PFAD is produced as the by-product in the refining of palm oil. Palm oil is refined into food-grade oil by the removal of degraded fats and free fatty acids. The distillation of palm oil to refine the oil and separate these unwanted and degraded fats produces food-grade palm oil, which gives PFAD as the residue.

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