‘ROOM TO INCREASE PALM OIL EXPORTS TO CHINA’
Exports rose 9.3pc to 1.81m tonnes for January-August 2018 period
THERE is still room to grow Malaysia’s palm oil exports to China given the continuous increase in demand and consumption, says Primary Industries Minister Teresa Kok.
She said the additional 25 per cent import tax imposed by China on United States soyabean oil had resulted in reduced imports, which led to a decrease in the supply of edible oils in China and create more opportunities for Malaysian palm oil exports.
Malaysia’s palm oil exports to China rose 9.3 per cent to 1.81 million tonnes for the JanuaryAugust 2018 period, compared with 1.65 million tonnes during the same period last year.
“Based on the current performance, the export of palm oil derivatives to China is poised to equal or even exceed last year’s total,” Kok said at the MalaysiaChina Palm Oil Trade Fair and Seminar (POTS) 2018, here, yesterday.
Last year, Malaysia exported 2.87 million tonnes of palm oil and palm oil derivatives worth RM9.42 billion to China.
On the additional 500,000 tonnes of potential palm oil imports by China from Malaysia announced during Prime Minister Tun Dr Mahathir Mohamad’s recent visit to the country, Kok said the relevant parties were in talks and the final decision was expected to be made by early next year.
Meanwhile, Malaysian Palm Oil Council (MPOC) chairman Datuk Lee Yeow Chor said palm oil was important to China as it was used in a wide range of applications.
“Although palm oil is mainly used as cooking oil for both industrial and domestic sectors in China, there are other areas where the use of palm oil can be expanded further.
“These include confectioneries such as chocolates, bakeries, as well as cosmetics and pharmaceuticals. I would even go as far as to promote palm oil biodiesel should China decide to set biodiesel mandates in the fu- ture,” he said.
Lee added that the potential for higher use of palm oil would be tremendous considering China’s rapid industrial and economic development.
POTS 2018, themed “Enhance Trade, Maximise Opportunities through Malaysian Palm Oil”, was jointly organised by MPOC and the Malaysian Palm Oil Board and attracted 400 participants from Malaysia and China.