Malaysian Palm Oil Exports Performance to Asia Pacific Region
( January – June 2023)
A Review on MPO Performance
| No | COUNTRY | Jan-Jun 2023 | Jan-Jun 2022 | Diff (MT) | Diff (%) |
|---|---|---|---|---|---|
| 1 | CHINA | 625,973 | 565,842 | 60,131 | 10.63 |
| 2 | JAPAN | 255,595 | 258,421 | (2,826) | (1.09) |
| 3 | SOUTH KOREA | 254,094 | 207,721 | 46,373 | 22.32 |
| 4 | PHILIPPINES | 205,327 | 340,350 | (135,023) | (39.67) |
| 5 | VIETNAM | 171,161 | 177,992 | (6,831) | (3.84) |
| 6 | TAIWAN | 116,334 | 101,794 | 14,539 | 14.28 |
| 7 | SINGAPORE | 114,448 | 92,863 | 21,585 | 23.24 |
| 8 | AUSTRALIA | 56,031 | 61,443 | (5,412) | (8.81) |
| 9 | MYANMAR | 22,968 | 32,918 | (9,950) | (30.23) |
| 10 | NEW ZEALAND | 8,938 | 9,838 | (901) | (9.15) |
| 11 | BRUNEI | 4,864 | 3,680 | 1,184 | 32.17 |
| 12 | INDONESIA | 1,272 | 1,034 | 237 | 22.93 |
| 13 | HONG KONG | 1,265 | 1,567 | (302) | (19.27) |
| 14 | PAPUA N GUINEA | 1,061 | 15,409 | (14,349) | (93.12) |
| 15 | FIJI | 993 | 1,433 | (441) | (30.74) |
| 16 | CAMBODIA | 611 | 655 | (43) | (6.62) |
| 17 | MONGOLIA | 492 | 469 | 23 | 4.97 |
| 18 | VANUATU | 136 | 20 | 117 | 587.36 |
| 19 | MICRONESIA FEDERATION | 118 | 94 | 24 | 25.27 |
| 20 | SOLOMON ISLAND | 116 | 63 | 53 | 83.82 |
| 21 | TONGA | 77 | 73 | 3 | 4.26 |
| 22 | TIMOR-LESTE | 75 | 672 | (597) | (88.79) |
| 23 | MARSHALL ISLAND | 62 | 83 | (21) | (25.36) |
| 24 | NEW CALEDONIA | 32 | 49 | (16) | (33.33) |
| 25 | SAMOA | 22 | 95 | (73) | (76.79) |
| 26 | NORTHERN MARIANA ISLANDS | 21 | – | 21 | – |
| 27 | NAURU | 18 | – | 18 | – |
| 28 | KIRIBATI | – | 169 | (169) | (100.00) |
| 29 | LAOS | – | 21 | (21) | (100.00) |
| 30 | PALAU | – | 20 | (20) | (100.00) |
| Grand Total | 1,842,104 | 1,874,789 | (32,685) | (1.74) |
Source: MPOB
From January to June 2023, Malaysian palm oil export to Asia Pacific region decreased by 32,685 MT or by 1.74% to 1.84 million MT compared to the same period in 2022. The primary factor for the decrease of Malaysian palm oil export to this region is the reduced import of palm oil by the Philippines and Papua N. Guinea, a decrease of 135,023 MT (39.67%) and 14,349 MT (93.12%) respectively.
China remain as the biggest importer of Malaysian palm oil in the region with 625,973 MT of imports during the January to June 2023 period, increased by 60,131 MT from the previous year contributed by rebound in domestic consumption as prices dropped from their peak in June 2022 and resumption of economic activities following the ending of zero-COVID policy in December 2022. In June, China imported 116,139 MT of palm oil from Malaysia, a significant monthly growth of 42,254 MT (57.18%) from May due to narrowing price gap between palm oil and other edible oils, making palm oil a more appealing and competitive edible oil in the market.
From January to June 2023, Papua New Guinea’s imports of Malaysian palm oil experienced a substantial decline of 14,349 MT or 93.12%, reaching only 1,061 MT compared to the same period last year. The significant drop in Malaysian palm oil exports to Papua New Guinea is due to the country’s higher palm oil production. According to Oil World, Papua New Guinea’s palm oil production is expected to rise by 20,000 MT or 2.53%, increasing from 790,000 MT to 810,000 MT in 2023.
In June, Malaysian palm oil export to the Philippines remained sluggish at 37,042 MT, dropped from 52,314 MT same period last year. For the period of January to June 2023, it recorded a steep decrease of 135,023 MT or by 39.67% to 205,327 MT. Likewise, Indonesia palm oil export to Philippines dropped 25.41% from 181,000 MT to 135,000 MT between January and May 2023. The decline in palm oil imports from both Indonesia and Malaysia in the Philippines can be attributed to high palm oil stock carried over from 2022. According to Oil World, Philippines’ palm oil ending stock in year 2022 was 215,000 MT, representing a 30.3% increase compared to 165,000 MT in year 2021. Palm oil consumption in 2023 is expected to remain stable compared to 2022. Therefore, it is anticipated that palm oil imports in the Philippines will see a resurgence in the second half of 2023.
As for other countries in the Asia Pacific region like Japan, South Korea, Singapore and Taiwan, the import of palm oil from Malaysia has remained steady. Indonesia will begin enforcing its mandate to blend 35% biodiesel (B35) effective 1st August with road transport fuel, as stated by Edi Wibowo, the director of bioenergy at the energy ministry. B35 has yet to implement since the mandate was rolled out on 1st February. As a result, the strong utilization of palm oil in Indonesia’s biodiesel industry will create an opportunity for Malaysia to increase its palm oil exports.
Breakdown of MPO Exports to the Asia Pacific Region (MT) January to June 2023
| Malaysian Palm Products Export to Asia Pacific Region (By-Products) | ||||
|---|---|---|---|---|
| PRODUCT | Jan-June 2023 | Jan-June 2022 | Diff (MT) | Diff (%) |
| RBD Palm Olein* | 846,623 | 963,948 | (117,325) | (12.17) |
| RBD Palm Stearin* | 346,081 | 312,335 | 33,746 | 10.80 |
| RBD Palm Oil* | 214,546 | 249,798 | (35,252) | (14.11) |
| Cooking Oil / DPL | 73,137 | 88,751 | (15,614) | (17.59) |
| PFAD | 86,621 | 46,105 | 40,516 | 87.88 |
| PAO | 69,382 | 54,679 | 14,703 | 26.89 |
| Others | 205,714 | 159,173 | 46,541 | 29.24 |
| Total | 1,842,104 | 1,874,789 | (32,685) | (1.74) |
| *Including ISCC, RSPO Mass Balance and RSPO from Segregated Categories | ||||
*Including ISCC, RSPO Mass Balance and RSPO from Segregated Categories
Source: MPOB
For more info please contact Mrs Rina Mariati
Email : rina@mpoc.org.my
*Disclaimer: This document has been prepared based on information from sources believed to be reliable but we do not make any representations as to its accuracy. This document is for information only and opinion expressed may be subject to change without notice and we will not accept any responsibility and shall not be held responsible for any loss or damage arising from or in respect of any use or misuse or reliance on the contents. We reserve our right to delete or edit any information on this site at any time at our absolute discretion without giving any prior notice.
