PALM OIL EXPORTS SEEN TOPPING RM70B THIS YEAR

KUALA LUMPUR: Palm oil export value is expected to exceed RM70 billion this year, compared with RM67 billion recorded last year, said Plantation Industries and Commodities Minister Datuk Seri Mah Siew Keong.

Mah said the anticipated higher exports would be driven by imports from Europe, India, China, Asean and new markets like Iran.

“Iran offers a big potential for exporters because its rising imports of Malaysian palm oil this year. We are working hard to look at new markets,” he said after the International Palm Oil Congress and Exhibition 2017, here, yesterday.

Mah was confident that the palm oil industry would perform better this year as export value had increased 22 per cent to RM51 billion up to August as compared with last year.

He said palm oil price would likely average at the current levels of RM2,600 to RM2,700 a tonne next year while production was expected to rise to 19.5 million tonnes this year from 17.5 million tonnes last year.

Meanwhile, Mah said the recent vote by the European Union (EU) Parliament’s environment committee in pushing for a ban on palm oil-based biodiesel by end2020 was part of an organised attempt to malign the palm oil industry.

He said the move was a clear case of discrimination against palm oil that also went against World Trade Organisation rulings, given that other oils would be allowed until 2029.

“We will be doing many rounds of discussions and I am confident that the EU will not implement the discriminatory policy and it will see our point of view.

“Prime Minister Datuk Seri Najib Razak will be meeting Indonesia President Joko Widodo next week and palm oil will be high on the agenda to see how we can protect the market.”

On another note, Mah said the new Comprehensive and Progressive Agreement for TransPacific Partnership would pave the way for Malaysian commodity to penetrate markets such as Chile and New Zealand. Bernama