This Monday (25), Malaysia's Minister of Plantations and Commodities, Fadillah Yusof, said that the country will increase exports of Palm oil to China, as a result of new European Union restrictions.
The growth is the result of an agreement between Malaysian palm oil products company Sime Darby Oils International and Chinese state-owned port group Guangxi Beibu Gulf International Port Group.
Certainly, Chinese importers are purchasing high value-added palm products produced in Malaysia,” he said.
In June this year, the European bloc introduced new rules. The rules require companies to demonstrate the sustainable origin of products such as coffee, soy, wood, meat, palm oil, cocoa, rubber and their derivatives. This avoids involvement with deforestation. Companies must implement the standard within 18 months, before the deadline, starting on June 29th.
In summary, Malaysian palm oil exports to China are expected to reach 3.20 million tons in 2023. Last year, the country purchased 3.14 million tons of the vegetable commodity from Malaysia.
Indonesia and Malaysia rank first and second, respectively, in the global palm oil production rankings.
Source: datagro
