Malaysia pushes higher-value palm oil exports to India amid strong demand

Malaysia is seeking to expand its palm oil trade with India by focusing on higher-value products such as oleochemicals, specialty fats, food ingredients and personal-care items, rather than merely increasing crude palm oil volumes. India imported more than 2.26 million tonnes of Malaysian palm oil, representing roughly 18 % of Malaysia's total production and a 40 % increase over the same period in 2025. Datuk Seri Dr Noraini Ahmad, the Plantation and Commodities Minister, emphasized Malaysia's century-long experience across the oil-palm value chain and its role in supporting India's National Mission on Edible Oils - Oil Palm.

She said Malaysian firms are already sharing expertise with Indian partners through private-sector cooperation and that discussions continue to ensure a stable trading environment. While global geopolitical tensions have raised freight, energy and insurance costs, Malaysia's production of 12.6 million tonnes in the first eight months of 2026 and projected full-year output of about 19.7 million tonnes position it as a reliable supplier. Exports are expected to reach around 16 million tonnes for the year, up 8.4 % from the previous period.