Desire for detente not enough to reignite Malaysian palm oil exports to India

The Malaysian Palm Oil Association - a group representing growers - is prioritising diplomatic efforts to woo India, chief executive Nageeb Wahab said.

KUALA LUMPUR/MUMBAI: The ousting of Malaysia's former prime minister Mahathir Mohamad, whose criticisms of India's policies in Kashmir damaged palm oil trade between the nations, has kindled hopes among Malaysian exporters for a rapid restoration of ties.

But political rhetoric alone will not restore full Malaysian palm oil flows to top market India any time soon, traders say: Palm prices within India are still too high relative to rival oils to encourage a sharp uptick in wholesale demand.