After India's restrictions, Malaysia aims to expand palm oil trade with Pakistan

• In 2018, Pakistan imported 1.16 million metric tons of palm oil from Malaysia.
• India, the world largest importer of edible oil announced to impose restrictions on the import of refined palm oil and palm olein, a liquid form of palm oil.

Malaysia aims to expand its palm oil market in Pakistan, after new restrictions imposed by India on palm oil imports.      

“Pakistan is one of Malaysia’s most regular and dependable buyers of local palm oil and products,” Malaysian Primary Industries Minister Teresa Kok said, read a statement by the Ministry of Primary Industries in Malaysia, following the minister’s visit to Pakistan.

The Malaysian minister met Pakistan’s Adviser to Prime Minister for Commerce, Textiles, Industry and Production and Investment Abdul Razak Dawood on an official 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 Malaysian ministry said that Pakistan is among the first export destinations in which Malaysia has major investments in bulking installation and refineries and the liquid cargo jetty dedicated for the handling of palm oil.

The development comes days after India, the world largest importer of edible oil announced to impose restrictions on the import of refined palm oil and palm olein, a liquid form of palm oil.

Putting the palm oil in restricted category means an importer will require licence or permission for the inbound shipment, reported Indian media. The move by India is seen as coming against the backdrop of remarks by Malaysian Prime Minister Mahathir Mohammed on the new citizenship law and Kashmir issue.