Indonesia reinforcing its position in Russia’s palm oil market

Palm oil imports to Russia totaled 77.2 KMT in May 2018, or 13.2% more than in the previous month and up 29.3% from May 2017. Altogether, palm oil purchases in 2017/18 (September-May) were up 21.2% year-over-year at 777.2 KMT against 641.1 KMT a year ago. Their total for the nine months hit a new all-time high, reports UkrAgroConsult.

If the pace of palm oil imports in the last months of the season remains as fast as before, Russia will purchase at least 960 KMT for the entire marketing year. This would be a record volume of imports to the country.

The current season features an increase in palm oil shipments to Russia from major exporters: Indonesia (84% of total imports), Malaysia (9%) and the Netherlands (4%). However, Indonesia gradually gains part of the market from other palm oil suppliers. This particularly concerns the Netherlands, whose share fell to 4% against 9% a year ago.

In addition, less significant exporters of palm oil to Russia left the Russian market: Denmark, Latvia, Lithuania and Finland. At the same time, the country began purchasing the product from Austria, Singapore, Japan and Turkey.