MPOC targets Africa, India for palm oil growth
KUALA LUMPUR: Malaysian Palm Oil Council (MPOC) is stepping up efforts to tap markets with stronger long-term demand growth, including through an expanded presence in Africa and India.
The Malaysian Palm Oil Council (MPOC) is intensifying efforts to expand its presence in Africa and India, seeking markets with robust long-term demand growth. MPOC chairman Datuk Carl Bek-Nielsen emphasized the council's growing focus on regions with strong potential for sustained demand. Despite fluctuating market conditions, the relationships MPOC cultivates remain critical, as Carl highlighted during the Malaysian Palm Oil Forum (MPOF) KL 2026.
The council recently relocated its sub-Saharan Africa regional office from Johannesburg to Nairobi, Kenya, and established branch offices in Lagos, Nigeria, and Chennai, India. This strategic shift coincides with a surge in Malaysian palm oil exports to emerging markets during the first eight months of 2026. Carl pointed out the significant potential in Africa, where the population consumes less than the global average of 32 kilograms of oils and fats per person annually.
If African nations, with their 1.4 billion people, increased their consumption to match India's level, an additional 9.8 million tonnes of oil would be needed yearly. Africa's 52 net oil and fat importers, excluding two self-sufficient nations, present a considerable opportunity. Its population is projected to swell to four billion by 2100, bolstering long-term demand potential.
In the first eight months of 2026, Malaysian palm oil exports to Sub-Saharan Africa grew by 10%, while shipments to the Middle East and North Africa increased by 23%, South Asia by 11%, and the Americas by 15%. During the MPOF KL 2026, held under the theme "Sustainable Growth in an Era of Geopolitical Realignment," Minister Datuk Seri Dr Noraini Ahmad underscored Malaysia's palm oil sector's resilience amid global trade and logistics hurdles.
She stressed that a diversified market portfolio would bolster the industry's resilience and open avenues to introduce Malaysian palm oil products to a broader customer base. Malaysia's palm oil sector remains heavily export-focused, with over 80% of production directed towards international markets. In 2025, the sector generated approximately US$28.1 billion in earnings from palm oil and palm-based products, contributing nearly three percent to Malaysia's gross domestic product.
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