Malaysian Palm Oil Export to South Asia Region
(January-March 2023)
A Review on MPO Export Performance
Table 1: A Review on MPO Export Performance (MT)
| No. | Country | Jan-Mar 2023 | Jan-Mar 2022 | Diff (Vol) | Diff (%) |
|---|---|---|---|---|---|
| 1. | India | 639,036 | 657,636 | -18,600 | -2.83 |
| 2. | Bangladesh | 85,279 | 88,185 | -2,906 | -3.30 |
| 3. | Pakistan | 72,286 | 161,925 | -89,639 | -55.36 |
| 4. | Afghanistan | 59,212 | 12,060 | 47,152 | 390.98 |
| 5. | Sri Lanka | 7,555 | 10,664 | -3,109 | -29.15 |
| 6. | Maldives | 853 | 1,554 | -701 | -45.11 |
| 7. | Nepal | 880 | 69 | 811 | 1175.36 |
| Grand Total | 865,101 | 932,093 | -66,992 | -7.19 |
Source: MPOB
During Jan-Mar 2023 period, MPO exports to the South Asian region registered a total of 865,101 MT against 932,093 MT which was registered during the same period of last year, a decrease of 66,992 MT or by 7.19%. This was due to the significantly lower imports by Pakistan as the financial crisis in the country has affected the country’s trade. India holds the biggest market share of 74% being the largest importer of MPO in this region.
Table 2: MPO Exports to India by Type of Products (MT)
| TYPE OF PRODUCTS | Jan-Mar 2023 | Jan-Mar 2022 | Diff (Vol) | Diff (%) |
|---|---|---|---|---|
| CPO | 499,883 | 400,994 | 98,889 | 24.66 |
| RBD PL | 106,444 | 214,902 | -108,458 | -50.47 |
| PFAD | 18,167 | 15,964 | 2,202 | 13.80 |
| CPO FOR RSPO AND ISCC | 6,453 | 9,799 | -3,347 | -34.15 |
| RBD PS | 3,834 | 8,441 | -4,607 | -54.57 |
| PAO | 2,450 | 1,002 | 1,448 | 144.46 |
| CPL | 749 | 4,999 | -4,250 | -85.01 |
| OTHERS | 1,056 | 1,534 | -478 | -31.15 |
| TOTAL | 639,036 | 657,636 | -18,600 | -2.83 |
Source: MPOB
MPO exports to India during Jan-Mar 2023 decreased marginally by 2.83% from 657,636 MT to 639,036 MT as MPO exports to the biggest palm oil importer in the region remained stable. In anticipation of increasing intervention by Indonesian government in palm oil exports, Indonesian companies reportedly offered its palm oil at a discounted rate to MPO during the last few months that led to the decrease in MPO share in the local market. Imports for major edible oils including palm oil and soft oil reportedly declined following the seasonal drop of imports due to high stock situation at the destination led by huge imports during the previous months as well as ample supply of domestic mustard oil.
Table 3: MPO Exports to Pakistan by Type of Products (MT)
| TYPE OF PRODUCTS | Jan-Mar 2023 | Jan-Mar 2022 | Diff (Vol) | Diff (%) |
|---|---|---|---|---|
| CO | 34,577 | 53,530 | -18,953 | -35.41 |
| RBD PL | 32,335 | 92,022 | -59,686 | -64.86 |
| RBD PO | 2,683 | 3,383 | -700 | -20.68 |
| PAO | 1,050 | 1,260 | -210 | -16.67 |
| CPO | – | 11,000 | -11,000 | – |
| OTHERS | 1,641 | 731 | 910 | 124.49 |
| TOTAL | 72,286 | 161,925 | -89,639 | -55.36 |
Source: MPOB
MPO exports to Pakistan during this period also went down to 72,286 MT from 161,925 MT recorded during the same corresponding period of last year. The arrival of oils and fats in the country is still under pressure due to the continued financial crisis which is leading to delayed payments and slow processing of import documents. The expected import in the month of April is anticipated to be between 175,000 to 200,000 MT.
Table 4: MPO Exports to Bangladesh by Type of Products (MT)
| TYPE OF PRODUCTS | Jan-Mar 2023 | Jan-Mar 2022 | Diff (Vol) | Diff (%) |
|---|---|---|---|---|
| RBD PL | 82,247 | 84,823 | -2,576 | -3.04 |
| PFAD | 1,269 | 635 | 635 | 100.00 |
| RBDPL FOR RSPO FROM SEGREGATED | 608 | 669 | -61 | -9.12 |
| CO | 585 | 996 | -411 | -41.26 |
| RBD PS | 315 | 733 | -418 | -57.02 |
| OTHERS | 255 | 329 | -74 | -22.49 |
| TOTAL | 85,279 | 88,185 | -2,906 | -3.30 |
Source: MPOB
MPO exports to Bangladesh declined slightly during Jan-Mar 2023 period from 88,185 MT to 85,279 MT during the same corresponding period of last year. It was reported that March 2023 stocks are 75.17 % higher than March 2022 and 12% higher than the previous month. Both palm oil and soft oils stocks reportedly increased by 7.37% and 23.68% respectively compared to the previous month. These stocks are expected to increase in the next two months on the account of festive season with the upcoming Eid Ul Adha. Prices of major oils such as soybean and palm oil in the local markets are still on the higher side which is also impacting the consumers’ demand and consumption.
Table 5: Breakdown of MPO Exports (MT)
| PRODUCTS | Jan-Mar 2023 | Jan-Mar 2022 | Diff (Vol) | Diff (%) |
|---|---|---|---|---|
| CPO | 499,883 | 411,994 | 87,889 | 21.33 |
| RBD PL | 222,205 | 394,382 | -172,177 | -43.66 |
| CO | 95,785 | 68,287 | 27,498 | 40.27 |
| PFAD | 19,689 | 16,599 | 3,090 | 18.62 |
| CPL | 7,064 | 13,000 | -5,936 | -45.66 |
| CPO FOR RSPO AND ISCC | 6,453 | 9,799 | -3,347 | -34.15 |
| RBD PS | 5,286 | 9,178 | -3,891 | -42.40 |
| PAO | 3,554 | 2,262 | 1,292 | 57.14 |
| OTHERS | 5,182 | 6,592 | -65,581 | -7.09 |
| TOTAL | 865,101 | 932,093 | -66,992 | -7.19 |
Source: MPOB
In terms of breakdown, the biggest product being exported to the region during Jan-Mar 2023 period is crude palm oil (CPO) accounting for 58% of overall palm oil imports followed by RBD palm olein (RBD PL) with 26%. These two palm oil products accounted for 84% of the total MPO exports to this region. Among the major importers of Malaysian CPO are India and Pakistan and major destinations for Malaysian RBD PL are India, Pakistan and Bangladesh. Cooking oil exports have also increased from 68,287 MT to 95,785 MT with major destinations include Pakistan and Afghanistan.
Chart 1: Breakdown of MPO Exports (MT): Jan-Mar 2023
Source: MPOB
For more info please contact Mrs Azriyah Email : azriyah@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.
