KUALA LUMPUR: Japan is a market that Malaysia could explore in relation to the use of biomass in renewable energy generation, says deputy Plantation And Commodities minister Datuk Chan Foong Hin.
“The top six import markets for Malaysian palm oil are India, China, the European Union, Kenya, Turkiye and the Philippines,” he said adding the six countries make up more than half of the export market share.
“(However), the ministry will join the World Expo in Osaka this year. This is a market we should explore for the use of biomass in the generation of renewable energy,” he told the Dewan Rakyat on Wednesday (Feb 12).
However, he said instead of just exporting raw materials to Japan, Malaysia should look at value-added services, such as venturing into biomass palletisation.
He was responding to a supplementary question by Nurul Amin Hamid (PN-Padang Terap) on whether Malaysia would look to Asian markets, especially Japan for innovation on the use of palm oil for energy generation.
In a related note, Chan said Malaysia exported 54,665 tonnes of palm oil and palm products worth RM288.23mil to five Central Asian countries namely Uzbekistan, Kazakhstan, Tajikistan, Kyrgyzstan and Turkmenistan.
As for Pakistan, he said the country is among the ten largest importers of Malaysian palm oil. Last year, the country imported 860,260 tonnes of palm oil and palm-based products from Malaysia, which Chan said affirms the good bilateral trade ties between the two countries.
“The ministry focuses on edible oils and the strategic location of Malaysia positions it as a gateway to the Middle East,” he said.
He said Pakistan is also a price-sensitive market and said the ministry has also engaged with the Port Qasim Authority which is a critical hub for importing edible oils to Pakistan during a recent visit to Karachi.
“The discussion emphasised the advantage of using the Pakistan port’s infrastructure to ease the distribution of palm oil faster and efficiently to the Middle East, indirectly reducing transit time, and cost whilst increasing the potential of exports of Malaysian palm oil to the region,” he said.
He said depending on the prices and market conditions, Malaysia’s exports are expected to command an 18-25% share of the overall Pakistani palm oil imports market.
He was responding to a question by Datuk Mohd Isam Mohd Isa (BN-Tampin) on the latest effort by the ministry to make Malaysia the largest industrial player in the supply of palm oil in Central Asia and regain our dominance in the distribution of palm oil in Pakistan.
