Industry body tells buyers to shun palm oil imports from Malaysia

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Published: October 22, 2019 2:10:40 AM

The association, in an earlier letter, had said that in the wake of media reports that the government may take some action to curtail the import of palm oil from Malaysia following the hostile attitude by the nation at the UN on the Kashmir issue, many importers and refiners have shifted their buying from Malaysia to Indonesia for November-December shipments.

Industry, buyer, palm oil, palm oil import, Malaysia, market news, Commodity news, SEA, Kashmir issue“The recent developments pertaining to strained relations between our nation and Malaysia has put a lot of responsibility on our industry in view of huge imports of Palm oil from that country,” he said in the letter.

The Indian edible oil industry body Solvent Extractors Association of India (SEA) has issued an advisory to its members to refrain from importing palm oil from Malaysia. “We have issued the following trade advisory to the members of the association to refrain from importing Palm Oil from Malaysia,” Atul Chaturvedi, president, SEA, said in a letter addressed to the members of the Association.

“The recent developments pertaining to strained relations between our nation and Malaysia has put a lot of responsibility on our industry in view of huge imports of Palm oil from that country,” he said in the letter.

The letter further stated, “Our government has not taken kindly to the unprovoked pronouncements by the Malaysian PM and is contemplating some retaliatory action. It would be in fitness of things, as responsible Indian vegetable oil industry, we avoid purchasing of palm oil from Malaysia till such time clarity on the way forward emerges from the government. We trust you would heed our advice,” Chaturvedi told members in the letter.

The association, in an earlier letter, had said that in the wake of media reports that the government may take some action to curtail the import of palm oil from Malaysia following the hostile attitude by the nation at the UN on the Kashmir issue, many importers and refiners have shifted their buying from Malaysia to Indonesia for November-December shipments. “The Malaysian government is trying to cool down this issue by offering to buy larger quantity of sugar and buffalo meat from India. The confusion prevailing is not desirable and needs to be resolved immediately. It is needless to mention that India needs palm oil from both Malaysia and Indonesia and it may not be prudent to depend on only one supplier. However, we would abide by whatever decision the government takes. Hopefully, this crisis would blow off,” the letter had stated.

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