MENA (Jan – Aug) 2020

Malaysian Palm Oil Exports Performance to Middle East & North Africa (MENA) Region
(Jan – Aug 2020)
A Review on MPO Performance

Middle East (East of Suez)

No. COUNTRY Jan – Aug 2020 Jan – Aug 2019 Diff (MT) Diff (%)
1 Turkey 433,599 504,986 -71,387 -14.10%
2 Saudi Arabia 244,232 83,768 160,464 191.60%
3 Iran 189,920 400,655 -210,735 -52.60%
4 UAE 70,619 43,443 27,176 62.60%
5 Yemen 69,527 47,743 21,784 45.60%
6 Oman 67,686 21,930 45,756 208.60%
7 Iraq 24,474 7,785 16,688 214.30%
8 Qatar 15,017 20,355 -5,338 -26.20%
9 Kuwait 13,165 18,695 -5,530 -29.60%
10 Jordan 9,264 9,210 54 0.60%
11 Syria 8,005 10,283 -2,278 -22.20%
12 Bahrain 7,296 8,812 -1,516 -17.20%
13 Lebanon 5,444 5,725 -281 -4.90%
14 Palestine 141 141 0 0.00%
1,158,389 1,183,531 -25,143 -2.10%

Import of Malaysian palm oil in the Middle East region during the period of Jan – Aug 2020 recorded 2.1% or 25,143 MT declined.  The declined is attributed mostly by drop in Turkey and Iran imports where these two major importing countries imported 14.1% and 52.6% lower respectively.

Slowdown in business and leisure activities due to COVID outbreak has somewhat influence Turkish consumers’ spending particularly those in HORECA sector.  Since palm oil is mostly consumed in HORECA sector, the slowdown has affected palm oil demand negatively. Besides that, higher imports of sunseed and sunoil by the country may also contributed to lower palm oil imports.  Iran imports declined substantially during Jan – Aug where the market’s import reduced by almost half (48.5% 0r 178,737 MT) of what they have imported in 2019.  COVID and the US Sanction has affected the country’s import this year.

Despite losing market share in Iran and Turkey, other markets such as Saudi Arabia, UAE, Yemen, Oman and Iraq recorded positive growth.  These five countries accounted for 41% of the total Middle East imports of Malaysian palm oil.

North Africa (West of Suez)

No.COUNTRYJan – Aug 2020Jan – Aug
2019
Diff (Vol)Diff (%)
1Egypt97,94838,15459,795156.7%
2Djibouti89,67236,16853,504147.9%
3Somalia80,63561,85918,77630.4%
4Algeria10,50521,409-10,904-50.9%
5Ethiopia10,33844,046-33,708-76.5%
6Morocco8,6311,0467,585725.3%
7Sudan5,2935,439-145-2.7%
8Tunisia3,3343303,004910.2%
9Eritrea2,6392,5261134.5%
10Libya249444-195-44.0%
  309,244211,42097,82446.3%

Imports of Malaysian palm oil by the North African market during Jan- August has recorded an increase of 46.3% or 97,824MT, owing to huge increase in import by Egypt and Djibouti. Import growth by these two market has exceeded 100%. 

Egypt market led the region as the biggest importer of Malaysian palm oil, with imports of 97,948 MT, 156.7% higher than last year.  Djibouti and Somalia are also recorded huge increase of 147.9% and 30% respectively.  Other markets such as Morocco and Tunisia have also registered significant increase of 721% and 910% respectively.

Breakdown of MPO Exports (MT) 

PRODUCTJan – Aug
2020
Jan –  Aug
2019
Change (MT)Diff (%)
CPO 6,502 3,749 2,75373.4%
CPL 226,940 56,859 170,081299.1%
RBD PL 795,661 934,134 (138,473)-14.8%
RBD PO 186,273 194,078 (7,805)-4.0%
RBD PS 101,136 132,883 (31,747)-23.9%
CO/DPL 111,372 50,609 60,763120.1%
Others 39,749 22,639 17,11075.6%
  1,467,633  1,394,951  72,682 5.2%

RBD PL accounted for 54% of the total Malaysian palm oil imported by the region during January – August 2020.  Major importers of RBD PL include Turkey, Egypt, Somalia, Oman, Yemen and Djibouti.  These countries accounted for 76% of the total Malaysian palm oil imported by the region.  CPL 15% of Malaysian palm oil market share and the volume went mostly to Saudi Arabia.  Duty advantage on crude products has prompted the country to opt CPL import instead of RBD PL.  There was also some quantity of CPO volume going into the region specifically to Morocco.

For more info please contact Mrs Fatimah
Email : fatimah@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.

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