Malaysian Palm Oil Exports Performance to Europe Region
(January – May 2022)
A Review on MPO Performance
| Table 1: Malaysia’s Export to Europe Region (MT) | |||||
|---|---|---|---|---|---|
| Country | Jan-May 2022 | Jan-May 2021 | Y-O-Y Change (Vol.) | Y-O-Y Change (%) | Jan-Dec 2021 |
| EU-27 | |||||
| Netherlands | 382,856 | 395,006 | (12,150) | (3.08) | 988,585 |
| Italy | 113,279 | 90,200 | 23,078 | 25.59 | 308,127 |
| Spain | 58,283 | 30,651 | 27,633 | 90.15 | 93,840 |
| Sweden | 53,860 | 33,558 | 20,302 | 60.50 | 110,054 |
| Denmark | 17,080 | 19,162 | (2,082) | (10.86) | 53,382 |
| Germany | 14,198 | 11,028 | 3,170 | 28.74 | 21,159 |
| Greece | 4,844 | 19,668 | (14,824) | (75.37) | 42,315 |
| Croatia | 3,735 | 3,184 | 551 | 17.31 | 9,734 |
| Estonia | 2,501 | – | 2,501 | – | – |
| Bulgaria | 1,199 | 521 | 678 | 130.30 | 1,178 |
| Romania | 1,090 | 1,522 | (432) | (28.38) | 3,083 |
| Belgium | 904 | 2,561 | (1,657) | (64.69) | 6,937 |
| Hungary | 482 | – | 482 | – | 126 |
| France | 440 | 102 | 338 | 331.25 | 184 |
| Latvia | 146 | 73 | 73 | 100.00 | 73 |
| Portugal | 82 | 154 | (73) | (47.03) | 175 |
| Czech | 57 | – | 57 | – | – |
| Poland | 39 | – | 39 | – | 47 |
| Malta | 19 | – | 19 | – | – |
| Lithuania | – | 6 | (6) | (100.00) | 60 |
| Sub-Total | 655,094 | 607,395 | 47,699 | 7.85 | 1,639,059 |
| NON-EU | |||||
| United Kingdom | 7,035 | 3,167 | 3,868 | 122.15 | 15,677 |
| Switzerland | 3,371 | 739 | 2,632 | 356.19 | 1,380 |
| Norway | 23 | 23 | 0 | – | 70 |
| Sub-Total | 10,430 | 3,929 | 6,500 | 165.44 | 17,126 |
| EASTERN EUROPE AND CENTRAL ASIAN REPUBLICS | |||||
| Ukraine | 9,152 | 13,535 | (4,383) | (32.38) | 36,681 |
| Kazakhstan | 7,029 | 3,541 | 3,488 | 98.52 | 9,322 |
| Russia | 4,708 | 1,621 | 3,088 | 190.55 | 13,158 |
| Georgia | 1,607 | 8,704 | (7,097) | (81.54) | 19,725 |
| Uzbekistan | 807 | 3,423 | (2,616) | (76.43) | 4,062 |
| Kyrgyzstan | 298 | 554 | (256) | (46.26) | 730 |
| Turkmenistan | 139 | – | 139 | – | 182 |
| Moldova | – | 22 | (22) | (100.00) | 22 |
| Tajikistan | – | 316 | (316) | (100) | 316 |
| Sub-Total | 23,741 | 31,716 | (7,975) | (25.14) | 84,199 |
| Grand Total | 689,265 | 643,040 | 46,224 | 7.19 | 1,740,385 |
| Source: MPOB | |||||
For the first five months of 2022, Malaysia exported a total of 689,265 MT of palm oil to the European region, including Central Asian countries. This is a healthy increase of 7.19% Y-O-Y, with a difference of 46,224 MT.
The Netherlands remains the biggest importer of Malaysian palm oil for the European region. This is consistent with its need as a re-export destination to other European countries. However, there was a slight drop of 3.08% Y-O-Y for the nation, importing a total of 382,856 MT of Malaysian palm oil compared to 395,006 MT for this period in 2021. This is likely due to several neighbouring countries opting for direct imports of Malaysian palm oil, as a result of congestion in Rotterdam port.
Italy was the second biggest importer of Malaysian palm oil in the first five months of 2022, with 113,279 MT of palm oil import, with a 25.59% Y-O-Y increase. This rise is possibly due to a consumer shift towards palm oil due to the shortage o sunflower in the market.
A decline in the import of Malaysian palm oil was also observed in several nations in the European region. These countries include Greece, Denmark, and Belgium. Delay in shipments and lack of storage area contributed to the decline in Greek imports of palm oil, while an increase in local edible oils production in Denmark had reduced their dependence on imports.
As for war-torn Ukraine, no Malaysian palm oil was exported to the country in May 2022. A worrying decline is also seen in Georgian imports, also due to conflict affecting trade in the Black Sea area. Russia imported a total of 4,474 MT of Malaysian palm oil in May 2022, a major import figure since the start of the Russia-Ukraine conflict in February.
Breakdown of MPO Exports (MT)
An emerging trend was noted for other fractions of palm oil. Higher volumes of PFAD and ISCC-certified RBD palm oil were noted with imports of 49,820 MT and 33,852 MT, respectively. The upsurge of 65% Y-O-Y for PFAD and 127% Y-O-Y for ISCC-certified RBD palm oil are due to their increased applications in the biofuels sector.
Overall CPO imports (including certified sustainable CPO) fell by 8% Y-O-Y, contributed by the decline in imports of non-certified CPO and ISCC certified CPO. This is due to lower demand in the biodiesel sector, as RED II policies imposed had shifted the demand from crop-based fuels into waste-based fuels.
Substantial import growth of RSPO certified CPO was also noted in this period, contributed by the soaring demand in the food sector as a result of the shortage of sunflower oil.
It is important to note that the Europe region is still facing a supply-demand deficit due to disruptions in the global supply of sunflower oil. Post-COVID recovery in the HORECA and transport sectors continues to put pressure on the supply-demand situation. As a result, from January to May 2022, the overall export of Malaysian palm oil to the region grew 7.19% Y-O-Y.
| Table 2: Malaysia’s Export to Europe – Breakdown by Palm Products (MT) | |||||
|---|---|---|---|---|---|
| Palm Oil Fractionation Product | Jan-May 2022 | Jan-May 2021 | Y-O-Y Change (Vol.) | Y-O-Y Change (%) | Jan-Dec 2021 |
| CPO | 137,059 | 147,529 | (10,470) | (7.10) | 337,583 |
| CPO for RSPO from Segregated | 135,956 | 95,175 | 40,781 | 42.85 | 328,390 |
| RBD PS | 68,498 | 73,021 | (4,523) | (6.19) | 185,226 |
| RBD PL | 62,063 | 42,320 | 19,743 | 46.65 | 120,523 |
| PFAD | 49,820 | 30,262 | 19,558 | 64.63 | 139,123 |
| PAO | 44,753 | 23,876 | 20,877 | 87.44 | 120,423 |
| PMF / RBD PMF | 36,773 | 29,044 | 7,729 | 26.61 | 91,792 |
| RBDPO for ISCC | 33,852 | 14,893 | 18,959 | 127.30 | 14,893 |
| CPO International Sustainability And Carbon Certification | 31,172 | 87,565 | (56,392) | (64.40) | 142,138 |
| RBD PO | 18,423 | 30,530 | (12,107) | (39.66) | 70,808 |
| Others | 70,895 | 68,827 | 2,069 | 3.01 | 189,486 |
| GRAND TOTAL | 689,265 | 643,040 | 46,224 | 7.19 | 1,740,385 |
| Source: MPOB | |||||
Source: MPOB
Chart 1: The Top 10 Importers of Malaysian Palm Oil in the European Region for January-May 2022
Source: MPOB
For more info please contact Mr Fazari: fazari@mpoc.org.my
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