Logo of Phnom Penh Post newspaper Phnom Penh Post - Middle East a crucial export destination for Malaysian palm oil: industry council

Middle East a crucial export destination for Malaysian palm oil: industry council

Content image - Phnom Penh Post
Last year, the total exports of Malaysian palm oil and its derivatives stood at 24.26 million tonnes. BERNAMA

Middle East a crucial export destination for Malaysian palm oil: industry council

With a population base of over 330 million and consumption of 2.34 million tonnes last year, an increase of eight per cent from 2020, the Middle East region will continue to be an important export destination for Malaysia, the Malaysian Palm Oil Council (MPOC) says.

CEO Wan Aishah Wan Hamid said the region had shown consistent growth in consumption of specialty fats and palm oil would benefit from this trend due to its nutritional qualities and functional attributes.

“This region is also set to see a boost in demand due to the global events like Expo 2020 Dubai, FIFA 2022, religious tourism and more,” she told Bernama.

Last year, the export of Malaysian palm oil to the Middle East registered an increase of 8.2 per cent.

The leading importer from this region is Turkey with a volume of 703,588 tonnes followed by Iran with 404,319 tonnes.

These two markets have recorded increases of 19 per cent and 25 per cent, respectively.

Other countries which recorded increases are the UAE, Yemen, Jordan, Syria, Qatar and Kuwait.

“The UAE palm oil market is expected to reach $467.1 million by 2025, according to a new report by Grand View Research Inc,” Wan Aishah said.

She said taking the example of confectionery products in Turkey, the sector has increased approximately 50 per cent for a period of 10 years beginning 2010.

She said that the sector would continue its growth pattern and palm oil consumption.

She added that Turkey was also positioned strategically to explore re-export opportunities to the Balkans and Central Asian region.

Meanwhile in Egypt, palm olein is on an upward trend to meet the growing demand in the hotel, restaurant and cafe (Horeca) sector.

This is especially after the improvements of tourism which was severely impacted by Covid-19 in the last two years.

The increase of palm olein blending in cooking oil is also another sector of growth in Egypt.

“While businesses continued to enjoy strong demand levels, they also reported a much sharper increase in input prices.

“The uptick was largely attributed to a rise in fuel and energy costs, as well as higher raw material prices.”

However, she said business confidence regarding future activity might be challenging ahead, especially to the UAE, due to the Omicron wave.

Nevertheless, she said this would depend on how the Omicron variant impacted worldwide travel and local restrictions

She said businesses also faced the prospect of higher inflation after the latest data indicated the fastest rise in purchase costs for nine months due to an increase in energy and raw material prices.

Wan Aishah said this year, the council would strengthen its promotional efforts for global recognition of Malaysian Sustainable Palm Oil (MSPO) as Malaysia’s sustainability standard.

“A 360-degree marketing and promotional programme, to ensure visibility and understanding of MSPO, will be undertaken.

“This ranges from engagements with key government officials, seminars and talks with trade associations and the Horeca sector, as well as roadshows and social media advertising for general consumers.

“This would be a long-term endeavour that will start with our neighbouring countries and the ripple effect will finally be seen on products proudly carrying our MSPO logo, an indication that the sustainability standard has gained international stature,” she said.

She said the MPOC had started promoting MSPO on the MPOC World Expo Dubai online contest website.

Additionally, she said “Malaysian Palm Oil Full of Goodness” would be the main theme during the Sustainable Agri-Commodity Week from February 6-12 to support Malaysian palm oil-based product manufacturers who would be marketing their products at LuLu Hypermarket in the UAE.

She said being the fourth-largest contributor to the Malaysian economy, the palm oil industry would be able to maintain its 2021 performance in 2022 backed by various marketing and promotional efforts to be conducted by the Plantation Industries and Commodities Ministry and its agencies.

In 2021, the total exports of Malaysian palm oil and its derivatives stood at 24.26 million tonnes.

Due to high palm oil prices, total revenue increased by 40 per cent to 102.34 billion ringgit ($24.4 billion) as compared to 2020.



  • Angkor lifetime pass, special Siem Reap travel offers planned

    The Ministry of Tourism plans to introduce a convenient, single lifetime pass for foreign travellers to visit Angkor Archaeological Park and potentially other areas. The move is designed to stimulate tourism to the culturally rich province of Siem Reap as the start of the “Visit

  • Exclusive interview with Josep Borrell Fontelles, High Representative of the EU

    CAMBODIA is hosting the 55th ASEAN Foreign Ministers’ Meeting (AMM) and Related Meetings this week with top officials from the US, China, and Russia and other countries in the region slated to attend and to meet with face-to-face with their counterparts on the sidelines. In

  • ASEAN Foreign Ministers’ meet commences, Taiwan issue possibly on table

    The 55th ASEAN Foreign Ministers’ Meeting (AMM) and related meetings hosted by Cambodia kicks off in Phnom Penh on August 3, with progress, challenges, and the way forward for the ASEAN Community-building on the table. Issues on Taiwan, sparked by the visit of US House Speaker

  • Pailin longan winery tries to break through to the big time

    Longan aren’t quite as glamorous as some fruits. They don’t have the star-power of mangos or generate the excitement of a pricey seasonal niche fruit like the pungent durian. Unlike bananas or oranges, which are known and loved everywhere, longan remains a decidedly

  • Recap of this year’s ASEAN FM meet and look ahead

    This year’s edition of the ASEAN Foreign Ministers’ Meeting (AMM) hosted by Cambodia comes against the backdrop of heightened global tensions and increasing rivalry between major powers that have been compared to the animosity of the Cold War era. The following is The Post’

  • Siem Reap action plan for tourism in motion

    The action plan for the Siem Reap Tourism Development Master Plan (2022-2023), focusing on six priority destinations, has been implemented to boost tourism and regain pre-Covid tourist numbers in the province. The action plan sets out 17 strategies and 37 implementation activities for: Angkor Archaeological Park, Phnom