Malaysia to turn Pakistan into distribution center for palm oil exports – MBOP

Malaysia plans to position Pakistan as a distribution center for palm oil exports to Central Asia, taking advantage of the country’s strategic location and proximity to emerging high-growth markets, the Malaysian Palm Oil Board (MPOB) said.

MPOB director general Datuk Ahmad Parviz Ghulam Qadir said the concept was in line with the growing demand in Pakistan’s $115 billion (517.5 billion ringgit) food sector and offered significant opportunities for Malaysian products.

“We aim to strengthen Malaysia’s position in Pakistan’s edible oil industry by focusing on strengthening joint ventures, researching value-added products and promoting sustainable production methods,” he told Bernama after his recent visit to Pakistan as part of the Plantations and Commodities Ministry’s visit. He also said that MPOB sees significant potential in expanding cooperation with leading Pakistani companies.

The purpose of the recent visit, according to the agency, was to explore new areas of cooperation with a focus on utilizing Pakistan’s advanced infrastructure at the Port of Qasim, through which more than 90% of the country’s palm oil imports pass. Major discussions also focused on modernizing infrastructure and facilitating the import of palm oil-based specialty fats and oleochemicals. The countries are also planning joint research and development (R&D) to meet the growing needs of Pakistan’s food sector and diversify the application of palm oil-based products, especially in the chemical industry.

“Malaysia is keen to regain market share in Pakistan, which has seen a decline in recent years. Indonesia currently accounts for 90% of Pakistan’s palm oil imports, but by promoting sustainable practices and introducing innovative products tailored to the local market, Malaysia aims to improve its competitiveness,” Datuk says.

Malaysia exported 860,000 tons of palm oil to Pakistan in 2024, up 14.2 percent from a year earlier. With Pakistan’s food sector projected to grow at a steady rate of about 7.5% per annum, there is significant scope to expand exports of oils, fats and oleochemicals.

Tags: Pakistan, Malaysia, palm oil