Europe (Jan – Jun) 2019

Malaysian Palm Oil Exports Performance to Europe Region
(Jan-Jun 2019)
A Review on MPO Performance

Table 1: A Review on MPO Export Performance (MT)

No.COUNTRYJan-June 2019Jan-June 2018Diff (Vol)Diff (%)
1.Netherlands445,847476,080-30,233-6.35
2.Spain309,439230,64078,79934.17
3.Italy243,099153,36089,74058.52
4.Sweden53,72549,2464,4799.1
5.Denmark27,68127,887-206-0.74
6.Ukraine22,62833,362-10,734-32.17
7.Russia14,54310,7403,80335.41
8.Germany8,35713,232-4,875-36.84
9.UK8,01115,024-7,013-46.68
10.Bulgaria6,2867,951-1,665-20.94
11.Romania5,7184,5751,14324.98
12.Croatia4,8405,432-592-10.9
13.Greece4,2128,081-3,869-47.88
14.Belgium2,1701,0081,161115.19
15.Latvia1,7001281,5721,230.68
16.Albania1,12987625328.85
17.Poland913372542145.71
18.Hungary89049439680.19
19.Switzerland82915,317-14,488-94.59
20.France306369-63-17.08
21.Montenegro260314-54-17.25
22.Macedonia1527181112.93
23.Serbia1204873151.5
24.Czech2445-21-45.92
25.Bosnia-Herceg2441-17-41.32
26.Malta2424100
27.Lithuania1729-12-40.56
28.Portugal1638-22-57.5
29.Estonia41,997-41,997-100
30.Norway802-802-100
31.Slovenia68-68-100
32.Serbia & Montenegro
33.Moldova
34.Grand Total1,162,9621,097,62865,3345.95

Source: MPOB

During the period of Jan-June 2019, Malaysian palm oil export to the Europe region registered an increase by 65,334 MT or 5.95% to a total of 1,162,962 MT from 1,097,628 MT which was registered during the same period of 2018 as shown in Table 1. The increasing trend of palm oil usage in the industrial use is solely driven by the increased utilisation for the production of biodiesel.

Netherlands, Spain and Italy continue to be top three biggest destinations of Malaysian palm oil in the EU. Increased use of palm oil for biofuel production is registered in countries like Spain and Italy. The imports of biodiesel from Argentina so far has not affected significantly the use for biofuels production as palm oil is mainly used for the production of HVO fuels.

Spain’s usage of palm oil for HVO production has been increasing driven by the rising mandates for blending with fossil transport fuels. Virtually all HVO fuel in Spain is produced from palm oil. In Italy, consumption of palm oil is gradually increasing reportedly due to the opening of a new biofuels plant this year. This plant has the capacity to process 750,000 MT of virgin vegetable oils and waste fats and oils on annual basis.

Table 2: Breakdown of MPO Exports (MT)

PRODUCTJan-June 2019Jan-June 2018Diff (Vol)Diff (%)
CPO / CPO ISCC / CPO RSPO755,094615,487139,60622.68
RBD PS96,51084,66811,84213.99
RBD PO45,428100,308(54,880)(54.71)
RBD PL60,19991,915(31,716)(34.51)
PFAD68,80269,363(560)(0.81)
PMF / RBD PMF48,93952,701(3,762)(7.14)
PAO37,48026,74210,73940.16
OTHERS50,51156,444(5,933)(10.51)
TOTAL1,162,9621,097,62865,3345.95

Source: MPOB

In contrast, in the Netherlands and Belgium the use of palm oil for biofuel production is expected to remain stagnant or gradually decline because of company policies to reduce the use of virgin vegetable oils in their feedstock mix. In the Netherlands, the use of palm oil for HVO production is being phased out and replaced by waste fats and oils such as used cooking oil and palm fatty acid distillate (PFAD), which is the by-product of palm oil refining. PFAD is being both imported and sourced domestically from palm oil refining plants.

In Russia, imports of MPO increased which could be contributed by the higher uptake of specialty fats into the country. Import of specialty fats by HS 1516 was reportedly increased from 9,677 MT in Jan-Mar 2018 to 12,930 MT in Jan-Mar 2019. The average value of one tonne imported from Indonesia by HS 1516 went down from 1,772 USD in Jan-Mar 2018 to 1,260 USD in Jan-Mar 2019. The average value of one tonne imported from Malaysia by HS 1516 went down from 1,563 USD in Jan-Mar 2018 to 1,319 USD in Jan-Mar 2019. For the corresponding period Malaysia increased its market share from 31% to 41% while Indonesia decreased by 1% down to 42%. The biggest destination of import by HS 1516 is St. Petersburg. In 2019, St. Petersburg increased its share of import by HS1516 up to 41% from 27% in the previous year.

Table 3: MPO Imports by Netherlands by Type of Products

TYPE OF PRODUCTSJan-June 2019Jan-June 2018Diff (Vol)Diff (%)
CPO171,277230,136(58,859)(25.58)
CPO INTERNATIONAL SUSTAINABILITY
AND CARBON CERTIFICATION
77,49825,49951,999203.93
CPO FOR RSPO FROM MASS BALANCE /
SEGREGATED & INT SUSTAINABILITY
AND CARBON CERTIFICATION
50,37885,736(35,358)(41.24)
RBD PS47,54145,0922,4495.43
PFAD42,49028,49813,99249.10
CPO FOR RSPO FROM MASS BALANCE / SEGREGATED13,96811,2592,70924.06
PAO9,3694,5094,859107.75
DFRBD PL / Super PL45112,928(12,477)(96.51)
OTHERS33,32732,4249032.79
TOTAL445,847476,080(30,233)(6.35)

Source: MPOB


For more info please contact Mrs Azriyah Azian
Email : azriyah@mpoc.org.my

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