News

India will always be dependent on Malaysia for palm oil - expert



KUALA LUMPUR, Nov 19  -- India will always be dependent on Malaysia for palm oil, as it is the cheapest edible oil in the world.

Singapore-based Palm Oil Analytics owner and co-founder Dr Sathia Varqa said India is 74 per cent dependent on edible oil imports, as the country is heavily dependent on rainwater for the irrigation of its agricultural sector.

“In India, only 37-40 per cent of the agricultural land is irrigated, while this year, the country is expected to produce only nine million tonnes of soybeans from the expected 12 million tonnes due to the late arrival of the monsoon,” he said.

Sathia said this in his presentation titled, ‘Palm Oil Driver of Economic Sustainability’ at the Malaysian Palm Oil Board International Palm Oil Congress and Exhibition 2019 (MPOB PIPOC 2019) here today.

Hence, demand wise, he said the main growth market for palm oil would still be India and China, while in the next 10 years, the main growth markets would be India, Indonesia and China.

“China will use the mix of edible oils from Malaysia, as the country is heavily short of soybean oil due to lower crushing of soybean hurt by the recent African swine fever outbreak.

“One thing for certain is that China will depend less on coal for energy generation and move towards ethanol and biodiesel,” he said.

As for European Union (EU), he said palm oil demand would be less due to the palm bio-fuel phase-out plan in the continent.

Overall, he expected Malaysia palm oil production to rebound 4.6 per cent to 20.3 million tonnes in 2019, while production growth for 2020 would slow by three to 3.5 per cent to 21.0 million tonnes.

“While Malaysia is the second largest palm oil producer in the world after Indonesia, long term growth wise, if there is no faster pace of replanting, production will slow down,” he said.

As for the year-end stocks level, he anticipated it to stand at 2.8 to three million tonnes and fall to below two million tonnes in the fourth quarter of 2020.

-- BERNAMA





    Other News

Bank Pembangunan Malaysia will support its customers to weather the COVID-19 storm

KUALA LUMPUR, March 28 -- Bank Pembangunan Malaysia Bhd (BPMB) will provide all relevant support to its customers facing difficulties including granting a moratorium on repayments/payments of loans/financings for a period of six months.


TNB pledges RM150 mln to support tiered electricity rebate

KUALA LUMPUR, March 27 – Tenaga Nasional Berhad (TNB) has pledged RM150 million to support the government’s announcement of a tiered electricity rebate to assist affected Malaysians following the extension of the Movement Control Order (MCO) period until April 14.


Minister expresses confidence in TNB’s preparedness during MCO

KUALA LUMPUR, March 26 -- Energy and Natural Resources Minister Datuk Dr Shamsul Anuar Nasarah has expressed confidence on the preparedness of Tenaga Nasional Bhd (TNB) in revving up its capacity to meet electricity supply demand in the Peninsula during the Movement Control Order (MCO).


    Main Sponsor


    Quotes



© 2020 BERNAMA. All Rights Reserved. Disclaimer | Privacy Policy | Security Policy This material may not be published, broadcast,
rewritten or redistributed in any form except with the prior written permission of BERNAMA.

Best viewed in Firefox 58.0.1 (64-bit) & Chrome Version 63.0.3239.132 (Official Build) (64-bit) with 1920 x 1080 resolution

Contact us :
General [ +603-2693 9933, helpdesk@bernama.com ]
Product/Service Enquiries [ +603-2050 4466, portal@bernama.com ]