Pakistan keen to fill void after India’s restrictions on Malaysian palm oil

• The palm oil prices has dropped significantly after reports of India banning palm oil import made rounds.
• Malaysia too is keen to expand its palm oil market in Pakistan.

Following India's restrictions against Malaysia, Pakistan is keen to take advantage of the situation and aims to expand its palm oil trade with Malaysia.

“If India effectively walks out of the Malaysian palm oil market, the global supply market would be depressed and the prices may further decline. Pakistan will have an opportunity to increase its imports at a relatively low price,” said Ahsan Mehanti, chief executive of Arif Habib Corporation, quoted Arab News.

The palm oil prices has dropped significantly after reports of India banning palm oil import made rounds, informed Mehanti.

Meanwhile, Malaysia too is keen to expand its palm oil market in Pakistan. Last week, Malaysian Primary Industries Minister Teresa Kok said that Pakistan is one of Malaysia's most regular and dependable buyers of local palm oil and products, following the minister's visit to Pakistan.

“In 2018, Pakistan imported 1.16 million metric tons of palm oil from Malaysia valued at RM2.97 billion ($730 million). Avenues were discussed to further expand Malaysian palm oil share in this growing market," said the statement.

The development comes days after India, the world largest importer of edible oil and palm oil announced to impose restrictions on the import of refined palm oil and palm olein, a liquid form of palm oil from Malaysia, following the statements made by Malaysia’s Premier Mahathir Mohamad on the controversial CAB bill and issue in Kashmir.