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Malaysian Palm Oil Board: Palm oil supply chain needs to evolve amid new market potential | Malay Mail

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KUALA LUMPUR, Dec 16 — The increasing world population and demand opens up vast potential for palm oil suppliers to explore new markets, but some areas need to be improved to smoothen the whole supply chain and better facilitate purchases by countries or companies. Local palm oil suppliers need...

Wednesday, 16 Dec 2020 09:42 PM MYT

Local palm oil suppliers need to introduce a more competitive logistics system in continuing to supply palm oil products to the Central Asia region, for instance, said a top official of the Malaysian Palm Oil Board on the third day of the Future-Proofed Palm Oil 2020 International Summit and Exhibition today.

He said importers also expect to receive more flexible payment terms from suppliers, since the consignment would take around 45 days to reach Central Asia. “Therefore, Iran’s LC was not accepted by banks in palm oil-producing countries. Hence paying for imports through third countries is an extra cost for Iran,” he said.

As for the Central Asia region, the palm oil market share is low at below seven per cent and there is room for expansion, especially in the production of solid fats products and blended cooking oils, he said.

 

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