Malaysia palm oil production, exports expected to rise this year

But country expresses concern over impact of EU effort to combat deforestation

A man unloads fresh fruit bunches from a cart at a palm oil fruit collection center for smallholders in Banting, Selangor, Malaysia, on June 10, 2022. Crude palm oil production in Malaysia and exports of the commodity are both expected to increase in 2023. © Reuters

AMY CHEW, Contributing writer

March 7, 2023 18:13 JST

KUALA LUMPUR -- Crude palm oil production in Malaysia and exports of the commodity are both expected to increase this year, the chairman of the country's stock exchange said on Tuesday, citing an expansion of areas under cultivation and overseas demand.

Neighboring Indonesia is the world's biggest producer of the commodity, followed by Malaysia and Thailand. Palm oil, the world's most consumed edible oil, is widely used as a vegetable oil and is an ingredient in processed food and other products, including cosmetics. Indonesia imposed a temporary export ban in April last year, hoping to tame inflation and secure local supplies.