Palm Oil Fact

Palm Oil Fact

Suitable Area for Oil

+/- 10o latitudes of the Equator
where ample sunshine and rainfall
is abundant

Oil Yields in 2016

As a perennial tree crop, oil palm has the highest oil yield as compared to other oil crops. It is 5-8 times more productive as compared to other oil crops. Less land is also required to produce equivalent tonnage of vegetable oil. Its high-yield ensure there is consistent supply to meet global demand.

Impact of Increasing Global Population on Demand and Consumption

Demand for oils & fats will continue to increase. By 2016, the world population was at 7.3 billion. This will reach 9 billion in 2043.
Nearly all of the population growth will occur in developing countries.
Sub-Saharan Africa’s population expected to grow the fastest (up 108%; 910 million people.​

Global Consumptions of Oils and Fats in 2016

In terms of consumption, palm oil is the most consumed vegetable oil commanding 30% of the market share; India, Indonesia & EU are biggest consumers.

Global Export of Oils and Fats in 2016

Palm oil is also the most traded commodity,constituting more than half of the 80 millions tonnes.

Global Production of Oils and Fats in 2016

Out of the total 204 mil tonnes of oils and fats produced, palm oil commands a share of 29 percent , followed by soybean, rapeseed and sunflower oils.

Global Oils and Fats in 2015

Global Oils & Fats in 2015

Utilization of World’s Agricultural Land

The livestock industry uses the most land (3.5 bil ha); is the main driver for past and future global deforestation and direct GHG emission (18% of global emissions) and saturated fats. Doubling of livestock demand by 2050 is catastrophic: Oilseed and milk are main sources of trans-fats. Livestock consume 70% grain and 90% soyabean.

Malaysia’s GHC Emission and Removal
Distribution of Agricultural Area

Distribution of Agricultural Area


Of the total 253.8 mil ha of world’s harvested oilseed area, Malaysia’s oil palm only accounted for 1.7%. This small area, nevertheless, provided 13.7% and 27.9% of global production of vegetable oils and exports of oils & fats, respectively.

Malaysia’s Contribution To Global Food Security

Of the all the countries in the world, only Malaysia and Indonesia are major exporters of oils and fats.

Malaysian Oil Palm Area (mil ha)

Contrary to NGOs’ claim that millions of hectares of rainforest are felled annually for oil palm, the fact is that Malaysia’s oil palm area stood at 5 mil ha, an increase of only 4.36 mil ha in the last 35 years!

Oil Palm & Forest Sustainability

Oil palm helps save forests in many developed countries who are net importers of oils and fats,while palm oil-producing countries can maintain ample forest reserves.

Changes in Land Use of Selected Tree Crops in Malaysia

Expansion of oil palm area in Malaysia has mainly occurred through conversion of existing tree crops’ planted areas. Since 1990, 1.39 mil ha of rubber, cocoa and coconut area have been converted to oil palm.

Malaysia’s GHG Emission & Removal in 2000

In 2000,Malaysia’oil palm plantations were able to remove not only its own GHG emission but also those of rice & other sectors.

Mileage per Hectare based on a Volkswagen Polo

Oil palm is the most efficient crop to provide biodiesel.

Malaysia’s GHG Emission & Removal in 2007

In 2007,Malaysia’s oil palm plantations absorbed more GHC emissions including those from energy sector compared to year 2000.