With surging demand, India emerges as Malaysia’s largest importer of germinating oil palm seeds

India has emerged as Malaysia’s largest importer of germinated oil palm seeds, with demand surging because the nation accelerates efforts to spice up home palm oil manufacturing and cut back import dependency.

India imported 3.03 million tonnes of palm oil from Malaysia in 2024, representing 17.9% of Malaysia’s complete palm oil exports and making it the highest vacation spot for Malaysian palm oil.

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“There has been a noticeable increase in demand for Malaysian oil palm seeds, particularly from India,” Malaysian Palm Oil Board Director General Ahmad Parveez Ghulam Kadir advised PTI, citing India’s push to develop home manufacturing.

India goals to quickly develop palm oil cultivation to 1 million hectares by 2025-26 and obtain practically 2.8 million tonnes of crude palm oil manufacturing by 2029-30 underneath its National Mission on Edible Oils-Oil Palm scheme.

The nation presently has about 3,70,000 hectares underneath palm oil cultivation as of mid-2025, focussing significantly on northeastern States and island areas.

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“The seed commerce, nevertheless, stays largely casual, with provides carried out on an advert hoc foundation by one-off consignments with out formal contracts or long-term agreements,” Mr. Kadir famous.

Most transactions occur by business-to-business preparations the place Malaysian exporters present high quality planting supplies and technical experience.

“Malaysia welcomes this development as it reflects confidence in the quality of our seeds and our longstanding partnership with India,” he stated. The improvement comes whilst Malaysia’s palm oil exports to India have moderated following New Delhi’s current discount in tariffs on crude palm oil.

Mr. Kadir stated India’s tariff changes are a part of broader coverage measures to handle home provide and preserve cooking oil costs inexpensive for customers. “While Malaysia has seen some moderation in export volumes to India, we remain a key and reliable supplier, and the Indian market continues to be a priority,” he stated.

Malaysia is partaking stakeholders to strengthen its place in meals manufacturing and hospitality segments the place demand stays sturdy, whereas selling sustainable palm oil licensed underneath the Malaysian Sustainable Palm Oil commonplace.

The Malaysian Palm Oil Board has developed new high-yield varieties by breeding programmes that may probably produce greater than 30 tonnes of contemporary fruit bunches per hectare yearly, practically double Malaysia’s nationwide common of 15.47-16.73 tonnes recorded between 2020-2023.

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The improved varieties even have slower peak progress, extending financial lifespan from 25 years to greater than 30 years whereas facilitating harvesting operations.

“Current Malaysian industrial seeds are appropriate for cultivation in India with correct farming practices and satisfactory irrigation,” Mr. Kadir stated, noting the supplies have carried out nicely underneath tropical situations just like many Indian areas with enough rainfall.

“Research efforts are underneath technique to develop climate-resilient varieties with improved drought tolerance, although none have been commercially launched but,” he added.