The Ministry of Plantation Industries and Corporations reckons that the exports revenue coming from the Middle Eastern region is expected to have a positive short-term outlook following the number of events happening in the region.
Deputy Minister Wille Anak Mongin, said the ongoing World Expo 2020 Dubai, FIFA 2022 in Qatar and the full resumption of Hajj and Umrah pilgrimage will add to the demand for Malaysian palm oil to the region.
Malaysia viewsing the Middle Eastern region as an important economic and export destination for the country, “if we export can achieve an increment of between one to two percent is considered very good during this tough period” he added.
There are multiple campaigns going on to promote palm oil in the region, recently finished goods with palm oil such as food products, cosmetics, and pharmaceuticals have been made available at LuLu Hypermarkets in Dubai. This is following the signing of a memorandum of understanding between the Malaysian Palm Oil Council (MPOC) and the Indian multinational conglomerate, which operates 224 retail stores in 22 countries.
Willie said Malaysia has had similar cooperation with Japan before in the Paralympic Games where the country has recognised palm oil. Then, Japan acknowledged Malaysian Sustainable Palm Oil and it has helped the country to further promote the local palm oil-based product there
The region imported 2.34 million tonnes of Malaysian palm oil, which is an increase of 8.2 percent as compared to the same period in 2020. Countries like Turkey, Iran, and the United Arab Emirates accounted for 84 percent of the total Malaysian palm oil exports to the Middle Eastern region.
UAE palm oil market itself is currently the fourth largest importer of palm oil in the Arab world and, according to the Grand View Research Inc report, is expected to reach US$467.1 million by 2025.