Malaysia to Maintain Palm Oil Resilience Amid Price Pressure
Malaysian palm oil exports to China will "remain resilient" this year despite their premium over rival oils and Chinese consumers' shifting buying patterns, the deputy commodities minister said on Sunday. Malaysia's exports of palm oil to China declined in 2024 due to lower soybean prices compared to palm oil and lower consumption of cooking oil. The population is aging and shrinking, as well as consumer behavior is changing where they are now more health conscious, affecting the buying patterns in China.
- The premium on palm oil over rival oils may continue to pose a challenge for demand, but if Malaysian exporters can navigate this hurdle, their resilience could be a game-changer for the industry.
- What other emerging markets might be vulnerable to similar price pressures, and how might these dynamics affect the global supply chain?