Tanzania - A Major Market for Malaysian Palm Oil in East Africa
31
VIEWS
by Nor Iskahar Nordin
Tanzania has been one of the major importers of Malaysian Palm Oil (MPO) from East Africa region for many years, and the volume has reached 240,000 MT at the end of last year. Until October this year, the volume of MPO exported to Tanzania has exceeded the volume for the whole year in 2015, with 306,000 MT.

Despite competition from locally produced sunflower oil and other exporters of palm oil, MPO market share in Tanzania edible oil market has continued to rise over the years due to its competitive price and products availability. A Tanzania strategic location which borders 8 countries, 6 of which are landlocked present a good opportunity for Malaysian Palm Oil exporters as a gateway to the Eastern African market.

Malaysian palm oil exporters should take advantage during this opportune time to develop the market further by increasing exports or by forming joint venture companies with the local industry players. At the moment per capita consumption for Tanzania stood at 13.5 kg which is quite low compared to world average of 27.8 kg. There is good potential for further increase as the rise in purchasing power due to Tanzanian unrivalled economic growth in the region, and also increase in total population.

This presentation discusses various aspects of edible oil industry in Tanzania, major players that dominated the market as well challenges faced by Malaysian palm oil exporters into the country and opportunity to further increase MPO market share in this fast growing economy.

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