Malaysian Palm Oil Exports Performance to MENA & Western Balkan Region
(January – June 2023)
A Review on MPO Performance
Middle East
| COUNTRY | Jan-June 2023 | Jan-June 2022 | Change (MT) | Change (%) | |
|---|---|---|---|---|---|
| 1 | Turkiye | 414,843 | 436,262 | (21,419) | (4.91) |
| 2 | Saudi Arabia | 219,256 | 295,448 | (76,192) | (25.79) |
| 3 | Iran | 162,170 | 110,530 | 51,640 | 46.72 |
| 4 | U.A.E | 82,284 | 144,247 | (61,963) | (42.96) |
| 5 | Yemen Arab Rep. | 42,678 | 10,120 | 32,557 | 321.71 |
| 6 | Oman | 32,618 | 59,717 | (27,099) | (45.38) |
| 7 | Jordan | 17,951 | 15,338 | 2,613 | 17.04 |
| 8 | Syria | 17,140 | 26,757 | (9,617) | (35.94) |
| 9 | Kuwait | 14,987 | 14,217 | 769 | 5.41 |
| 10 | Qatar | 13,803 | 16,392 | (2,590) | (15.80) |
| 11 | Iraq | 6,912 | 29,232 | (22,320) | (76.36) |
| 12 | Bahrain | 3,731 | 3,110 | 620 | 19.94 |
| 13 | Lebanon | 3,466 | 2,039 | 1,426 | 69.96 |
| 14 | Palestine | 199 | 0 | 199 | – |
| Total | 1,032,038 | 1,163,410 | (131,373) | (11.29) |
Source : MPOB
From Jan – Jun 2023, imports of Malaysian palm oil by countries in the Middle East region registered a volume of 1,032,038 MT which is 131,373 MT or 11.3% lower compared to the same period in 2022. This was mainly due to the lower imports by the three major importers, Turkiye, Saudi Arabia and the UAE.
During this period, Turkiye retains its position as the leading importer of Malaysian palm oil in this region with a volume of 354,070 MT but it was a drop of 21,419 MT or by 4.9 % primarily due to lower demand for packed palm oil products from neighbouring countries such as Russia, Georgia and Iraq.
Imports of MPO to Saudi Arabia for the period of January to May 2023 dropped by 76,192 MT or by 25.8% compared to the same period last year. This was due to competition from Indonesian palm oil (IPO) who supplied at a discounted price to attract palm oil demand in the region which resulted in MPO’s market shares were taken by IPO. Since freight cost has returned to the normal rate, Saudi Arabia and UAE which were used as the re-export hub to their neighbouring countries and Eastern African countries are not as attractive as importers from those countries imported direct from Malaysia. Countries like Yemen, which traditionally imports palm oil from their neighbouring countries opted to import directly from Malaysia taking advantage of the lower freight cost. Jordan and Lebanon registered an increase in MPO imports because MPO exporters used their ports for their shipments to Syria
However, on a positive note imports of Malaysian palm oil by Iran showed an increase of 46.7%, registering a volume of 162,170 MT, up from 110,530 MT registered in the same period of 2022. Iran is still an important exporting country ranked as the region’s third-largest MPO export destination.
Other countries that recorded an increase were Yemen (321.7%), Jordan (17.0%), Kuwait (5.4%), Bahrain (19.9%) and Lebanon (69.95%). While countries that registered a drop in imports of MPO were UAE (43.0%), Oman (45.4%), Qatar (15.8), Syria (35.9%) and Iraq (76.4%).
Breakdown of Malaysian Palm Oil Export
| PRODUCT | Jan – Apr 2023 | Jan – Apr 2022 | Diff (MT) | Diff (%) |
|---|---|---|---|---|
| RBD PL | 523,886 | 665,455 | (141,570) | (21.27) |
| RBD PO | 133,200 | 161,808 | (28,607) | (17.68) |
| RBD PS | 92,050 | 123,995 | (31,945) | (25.76) |
| CPL | 122,561 | 120,505 | 2,057 | 1.71 |
| CO / DPL | 129,452 | 78,222 | 51,230 | 65.49 |
| CPO | 22,301 | 1,000 | 21,301 | 2129.91 |
| Others | 8,588 | 12,426 | (3,838) | (30.88) |
| Total | 1,032,038 | 1,163,410 | (131,373) | (11.29) |
Source: MPOB
RBD palm olein is the most imported palm oil fraction in this region which accounted for 50.8% of the total palm oil products imported into the region. Most of the RBD palm olein in this region was imported from traditional markets such as Iran, Turkiye, Saudi Arabia, UAE and Oman, accounting for 87.9% of the total RBD PL imported into the region. Out of this volume, 12,150 MT to Turkey and Saudi Arabia were RSPO-certified PL.
Balkan
| COUNTRY | Jan – June 2023 | Jan – June 2022 | Diff (Vol) | Diff (%) | |
|---|---|---|---|---|---|
| 1 | Bosnia-Herceg | 72 | 24 | 48 | 199.25 |
| 2 | Montenegro | 24 | 191 | (167) | (87.25) |
| 3 | Serbia | 19 | 46 | (28) | (59.73) |
| 4 | Macedonia | 13 | 106 | (93) | (87.70) |
| Total | 128 | 367 | (239) | (65.23) |
Source: MPOB
The Balkan region comprising Bosnia & Herzegovina, Serbia, Montenegro and Macedonia imported a small volume of Malaysian palm oil. During the period from Jan – June 2023, the region imported 128 MT of Malaysian palm oil, which was a drop of 239 MT or 65.2% compared to the corresponding period of last year. The region is mainly a sunflower-producing region, and the higher sunflower seed output has impacted palm oil imports.
Breakdown of Malaysian Palm Oil Export
| PRODUCT | Jan – June 2023 | Jan – June 2022 | Diff (MT) | Diff (%) |
|---|---|---|---|---|
| CO / DPL | 115 | 285 | (171) | (59.83) |
| RBD PL | 0 | 0 | 0 | 0.00 |
| RBD PO | 13 | 82 | (69) | (84.07) |
| Total | 128 | 367 | (239) | (65.23) |
Source: MPOB
For this period, cooking oil is the only imported oil fraction by the region, which accounted for 89.8% of the total palm oil imported during the review period.
For more info please contact Mr. Suhaili
Email : msuhaili@mpoc.org.my
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