Business

Capitalise on China’s red palm oil green light: MPOB

Removal of barriers on commodity spells greater opportunities for local exporters, says govt agency

Updated 5 years ago · Published on 29 Mar 2021 6:00PM

Capitalise on China’s red palm oil green light: MPOB
Besides removing barriers on red palm oil exports on March 1, China also announced the official implementation of the Chinese Group Standard for Palm Kernel Cake. – File pic, March 29, 2021

KUALA LUMPUR – The Malaysian Palm Oil Board (MPOB) has urged Malaysian exporters to take advantage of the removal of barriers on red palm oil into the republic from March 1. 

“We hope Malaysian exporters can grasp this golden opportunity to sell the premium and nutritious red palm oil to China, a multi-segment market with the most diversified consumers in the world,” MPOB director-general Dr. Ahmad Parveez Ghulam Nadir said today.

Previously, red palm oil was not allowed to enter into China due to the colour specifications capped at 3.0 red, while most red palm oil produced in Malaysia is detected at 7.0 red and above.

“The newly announced Chinese Group Standard allows the import of red palm oil without the barrier effective from March 1, 2021,” he said in a statement here.

Besides red palm oil, China also announced the official implementation of the Chinese Group Standard for Palm Kernel Cake.

Parveez explained that the Chinese Group Standard for Red Palm Oil was the result of multiple stakeholder engagements and extensive bilateral cooperation between MPOB and the relevant Chinese authorities, which enabled the entry of Malaysian red palm oil into China.

In 2014 and 2015, MPOB conducted an intervention programme with the Lanzhou University to help fight Vitamin A deficiency among 2,000 school children in Gansu Province through the use of red palm oil which contains natural carotenes, a pro-Vitamin A and powerful antioxidant.

“The programme effectively helped to reduce the incidence of Vitamin A deficiency among children from 21.6% to 6.1% after six months of intervention and MPOB takes pride in the corporate social responsibility initiative which was jointly carried out with the Chinese Nutrition Society,” said Parveez.

In addition, MPOB, through its regional office in Shanghai, China also known as the Palm Oil Research and Technical Service Institute of MPOB, together with local industry players and research institutes have jointly developed food and animal feed formulated with red palm oil.

These products, including the red palm-based extruded snacks, red palm hot pot soup stocks, red palm dog food, and red palm feed for layer chickens will help strengthen the Malaysian palm oil markets in China through reaching out to the Chinese producers as well as consumers. – Bernama, March 29, 2021

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