KUALA LUMPUR, 24 May 2023 — Malaysian Palm Oil Board (MPOB) sees the New Land-Sea Corridor which connects the Western Region of China with the ASEAN countries further enhancing the convenience and accessibility of bilateral trade between Malaysia and China.
Director General of MPOB Datuk Dr Ahmad Parveez Hj Ghulam Kadir, in a statement today said that through research & development (R&D) collaboration, MPOB is actively assisting the Malaysian oil palm industry in supplying palm oil to the Chinese market with high-value additions, for the food and non-food sectors.
According to him, red palm oil, as a healthy and high-value-added palm oil product, entered the Chinese market last year.
“In the non-food sector, we have partnered with Tsinghua University to successfully showed carbon reduction in local heavy transports by using palm-based biodiesel.
In addition, we actively participate in events such as the Fifth Western China International Fair for Investment and Trade (5th WCIFIT) to engage with new partners, and explore new areas of cooperation,” he said during an interview with Chongqing International Communication Center in the 5th WCIFIT in Chongqing, recently.
Ahmad Parveez believes that with the joint efforts of both Malaysia and China, the bilateral relationship between the two countries will be further deepened while trade will grow even more.
According to him, palm oil has great commercial potential in Chongqing’s industries, as it is not only used as a raw material in food and beverage production but also in cosmetics, daily products, perfumes, chemicals and a range of other popular products.
“As an important city for both light and heavy industries in China, Chongqing requires more palm oil to fuel its development,” he said.
MPOB and New Land-Sea Corridor Operations Co., Ltd. signed a memorandum of understanding (MoU) on strategic cooperation on Malaysian palm oil supply chain in the Western Region of China at the Malaysia-China (Chongqing) Investment Forum held on 12 August 2022.
According to Ahmad Parveez, the MoU aims to establish a platform to promote Malaysian palm oil and related products trade and technology cooperation in Western China. Apart from that, the MoU promotes bilateral trade, expanding China’s imports of Malaysian palm oil, and achieving win-win cooperation.
He said the MoU includes cooperation between both parties in the joint promotion of palm oil for food, non-food, biofuel and feed applications and consumptions in the Western Region of China as well as benefits, advantages and business opportunities of palm oil.
“We hope that through this cooperation, we can promote the trade of Malaysian palm oil, palm kernel oil, and related products, enhance communication and exchanges, and explore new opportunities for cooperation. Hence, we can achieve mutual economic benefits for both sides,” he said. As the logistic hub and operational centre for the New Land-Sea Corridor in Western China, Chongqing effectively radiates the surrounding provinces and cities.
Malaysia was the Country of Honour for this year’s Western China International Fair for Investment and Trade, which was also the very first trade fair that Malaysia participated as the Country of Honour after the Official Visit of YAB Dato’ Seri Anwar Ibrahim, Prime Minister of Malaysia, to China in the end of March 2023. MPOB has brought palm oil companies from Malaysia to participate in the expo via the Malaysian Pavilion.
Ahmad Parveez sees the event as a good platform to actively explore new areas of cooperation with the Chinese industry, such as oleochemicals, pharmaceuticals, processed foods, and speciality products.
“This helps strengthen business exchanges and cooperation and achieve mutual economic benefits.
We also hope that through this event, we can disseminate important messages related to palm oil to the Chinese consumers, allowing them to better understand Malaysia’s high-quality and sustainable palm oil and its products,” he added.
Malaysia and China will celebrate their 49th anniversary of the establishment of diplomatic ties on 31 May this year. For the past 49 years, Malaysia and China have maintained a good economic and trade relationship, with China being one of Malaysia’s main importers of palm oil.
Last year, Malaysia’s palm oil exports to China reached 3.141 million tonnes, worth a total of RM 14.86 billion (approximately RMB 2.31 billion).
— Akses Malaysia
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