Asia Pacific (Jan – Nov) 2021

Malaysian Palm Oil Exports Performance to Asia Pacific Region
 ( January – November 2021)
A Review on MPO Performance

NoCOUNTRYJan-Nov 2021Jan-Nov 2020Diff (MT)(Diff (%)
4South Korea304,460405,439(100,979)(24.91)
9New Zealand21,59727,936(6,339)(22.69)
10Papua N. Guinea20,4688,26812,200147.55
19Solomon Island83255(173)(67.61)
21New Caledonia4949
25Marshall Island3039(9)(23.88)
26Micronesia Federation2117425.29
 Grand Total2,125,5512,627,466(501,915)(19.10)

Source: MPOB

From January to November 2021, Malaysian palm oil export to the Asia Pacific region decreased by 501,915 MT or by 19.1% compared to the last year as most of the countries in this region recorded a drop in Malaysian palm oil imports.  The main reason for the drop in export volume is the revision in Indonesian export taxes and levies has increased the competitiveness of Indonesian processed palm oil. Indonesia’s CPO export levy and export taxes were raised from USD 55/MT and USD 3/MT in October 2020 to USD 175/MT and USD 200/MT in November 2021. The rise in export duty and taxes of CPO in Indonesia caused Indonesian refined palm oil products to be more competitively priced and consequently a significant rise in exports.

Malaysian palm oil export to Philippines dropped by 96,196 MT or 15.1% to 541,034 MT which is mainly due to the increase in the Indonesian palm oil intake. The import of Indonesian palm oil increased by 40.29% or 139,000 MT to 484,000 MT for the period January to October 2021 compared to the same period in 2020. The revision of Indonesian palm oil duties and levies made their refined products more competitively priced than Malaysia.

Singapore imports of Malaysian palm oil recorded a decline of 93,338 MT or 35.07% to 182,138 MT from January to November 2021 compared to the same period of last year. In early 2020, Singapore imported a large quantity of CPO for their biodiesel blending, taking advantage of Malaysia’s duty exemption on CPO. From January to November 2020, Singapore imported 59,713 MT of CPO, however, this year, there was only 6,500 MT of CPO imported due to the high palm oil price and the reinstatement of CPO export duties also impacted imports. The decrease in Malaysian CPO imports in Singapore accounted for 20% of the overall decrease in Malaysian palm oil imports in the country.

Malaysian palm oil exports to Vietnam registered a decline of 118,775 MT or 27.91% to 306,460 MT compared to the same period in 2020, mainly due to an increase in palm oil import from Indonesia. From January to October 2021, Indonesian palm oil import into Vietnam increased by 26,000 MT or 5.53% to 496,000 MT compared to the same period of 2020 due to the competitive price offered by Indonesian suppliers. In addition, the COVID-19 in Vietnam saw restrictions in business operations and there were widespread closures of restaurants, hotels and canteens resulting in reduced palm oil demand and consumption in the country. This has resulted in a shift in demand for in-home cooking which prefers soybean oil and rice bran oil.

South Korea recorded a drop in Malaysian palm oil imports of 100,979 MT or 24.91%. As reported by USDA, the low palm oil imports in South Korea were due to lower demand from the biodiesel production sector in the country. The biodiesel sector has been the main driver of rising palm oil imports in the country since 2007/08 and over the years, palm oil used in biodiesel has increased due to palm oil’s narrowing price competitiveness over soybean oil. There was also an increase in the Indonesian palm oil import in South Korea. For the period January to October 2021, South Korea imported 484,000 MT of Indonesian palm oil increased by 40.29% from 303,000 MT for the period January to October 2020.

Malaysian palm oil export to Japan dropped by 22,122 MT or 5.39% to 388,372 MT. The decline in imports of Malaysian palm oil by Japan was mainly due to lower imports of RBD palm stearin import which Japan mainly uses as feedstock for FIT-supported powerplants. The utilization of RBD palm stearin is dependent on global palm stearin’s prices and this is reflected in lower consumption due to the high price of RBD palm stearin especially during the first half of 2021. As a result, the import of RBD palm stearin from Malaysia dropped by 24,340 MT or 70.29% to 11,556 MT compared to 38,897 MT in the same period in 2020.

Breakdown of MPO Exports to the Asia Pacific Region (MT) January to November 2021

Malaysian Palm Products Export to Asia Pacific Region  (By-Products)
PRODUCTJan-Nov 2021Jan-Nov 2020Diff (MT)Diff (%)
RBD Palm Olein*1,214,6871,424,584(209,896)(14.73)
RBD Palm Oil*407,244505,399(98,155)(19.42)
RBD Palm Stearin*145,870154,418(8,548)(5.54)
Cooking Oil / DPL115,287121,138(5,851)(4.83)

*Including ISCC, RSPO Mass Balance and RSPO from Segregated Categories

*Including ISCC, RSPO Mass Balance and RSPO from Segregated Categories
Source: MPOB

For more info please contact Mrs Rina Mariati
Email :

*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.

Stay In Touch

Stay In Touch

You can share this posts:

Leave a Reply