Malaysian Palm Oil Exports Performance to Middle East & North Africa (MENA) Region
(Jan – Sep 2019)
A Review on MPO Performance
Middle East (East of Suez)
|No.||COUNTRY||Jan – Sept 2019||Jan – Sept 2018||Change (MT)||Change (%)|
Import of Malaysian palm oil Jan – declined further by 11.4% or 162,610 MT. Such decline attributed mostly by Saudi Arabia’s decline in import of Malaysian palm oil during the reviewed period. Saudi Arabia import dropped by 66.49% or 166,205MT. Such huge dropped was due to competition with Indonesia where industry’s source claimed that Indonesian palm oil is at least US$10 cheaper than Malaysian palm oil. As of Jan – June 2019, Saudi Arabia imported close to 200,000 MT of palm oil from Indonesia against just 34,000 MT in 2018.
Turkey continue to lead the market in imports of Malaysian palm oil but imports growth very marginally just 2.9%. Malaysian palm oil still enjoys the advantage of Malaysia-Turkey FTA signed in 2015. Indonesian however, has expressed their interest to also struck similar arrangement with Turkey and is currently undergoing series of FTA negotiations.
Iran has come back into the market to replenish their depleting stock where imports was up by 26.3% or 89,320.
|No.||COUNTRY||Jan – Sept 2019||Jan – Sept 2018||Diff (Vol)||Diff (%)|
Imports of Malaysian palm oil by the North African market recorded 46.8% decline, owing to the drop in imports by most of its major markets namely Djibouti, Ethiopia and Egypt. These three market which accounted for more than 75% of total North Africa imports market in 2018, only managed to secure 131,089 MT or 56% of the total Malaysian palm oil imports volume into the region.
Djibouti, the leading importers of Malaysian palm oil only import 40,697 MT against 150,540 MT in the previous year, a drop of 73%. Djibouti, which serves as the gateway to Ethiopian and other Northeast Africa market has been affected by the slow demand from Ethiopian market. Ethiopian market, which is currently facing shortage in its foreign currency has reduced its imports of Malaysian palm oil tremendously. Imports during Jan – September declined by 60.01%.
Another major market, Egypt imported only 38,124 MT up until September. The volume declined by 29.2%. Besides Indonesian factor, higher import of soybean and corn oil has resulted in lower Malaysian palm oil import to the country.
Somalia, on the other hand rose as the leading importers of Malaysian palm oil with imports increase to 16.0% or 9,223.8 MT. Other markets with positive uptake of Malaysian palm oil are Algeria, Sudan, Libya and Tunisia. However, these market only accounted for 13.22% of the total Malaysian palm oil exported into the North African market.
Breakdown of MPO Exports (MT) Jan – Sep 2019
|PRODUCT||Jan – Sept 2019||Jan – Sept 2018||Diff (MT)||Diff (%)|
Middle East and North Africa market are mostly consumed RBD Olein. It accounts for 67.58% of the total palm oil imported but imports declined by 10.8%. Import of CO (Cooking Oil) accounted for 3.74% of the total import and the volume was 7.1% higher.
For more info please contact Mrs Fatimah
Email : email@example.com