On June 14, according to media reports, the implementation of the European Union’s No Deforestation Regulation (EUDR) will not affect the growth and income of Malaysian palm oil, because the EU’s imports are insignificant compared with other countries.
The chairman of the Malaysian Palm Oil Board said Malaysia exported about 1.5 million tonnes of palm oil to the EU last year, out of a total production of about 20 million tonnes.
Therefore, the quantity is small. “We know that the growth in palm oil consumption is not coming from the EU, but from India, China, Africa, the Middle East and elsewhere,” he said.
So if we look at it from a revenue standpoint, even though our sales to the EU are reduced, we can still sell to other countries.
In addition, it is difficult to develop new oil palm plantations, which means that the potential growth of palm oil is very limited, while consumption will continue to grow.
