Growing Demand for Palm Oil in the US – Import Review for Year of 2016
by Norhaznita Husin
The regional El Nino season for 2015-16 has ended and deemed as the strongest since the recorded event of 1997-1998. The impacts began in Asia-Pacific in the middle of 2015 and subsequently affected at least eleven countries in the region including Malaysia.

Palm oil yield dropped during this stress period, and yearly cumulative production of Malaysia’s CPO fell short by 13 percent to 17.32 million tons in 2016.

El Nino has dented the total Malaysia’s export of palm oil for last year by 8 percent to almost 16.05 million tons, compared to 17.45 million tons from the previous year. Malaysia’s palm oil exports slumped to the lowest in more than five years, as exports declined in most of Malaysia’s top destinations; China, India, Netherlands, USA, and other big markets. Export to China drops by 21 percent, India (23 percent), Netherlands (30 percent), and also to the US for 16 percent last year (as compared to 703,000 tons in 2015).
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