May 10 news, Malaysia is actively promoting palm oil trade cooperation with Kenya, plans to increase exports to it, and assist Kenya to enhance edible oil refining capacity. Malaysia's Minister of Plantation and Commodities Johari Ghani said in Nairobi that the Malaysian side is willing to share palm oil planting technology and expertise, as well as strategic cooperation with the Kenyan side in the field of edible oil value chain.
Despite having pledged to support Kenya's local palm oil industry, China has continued to export products to the country, causing Malaysia to seek greater space in the East African market. The Malaysian side also plans to set up a trade support office in Nairobi to address trade barriers and encourage more exporters to participate in the cooperation.
Currently, Kenya's annual demand for edible oil exceeds 900,000 tons, but there is a severe shortage of local production capacity, with about 99 percent of palm oil dependent on imports. The country's refining capacity is about 2.1 million tons, but the capacity utilization rate is only 40%. The Kenya Association of Manufacturers (KAM) pointed out that improving capacity utilization and developing the local plantation industry are key to increasing self-sufficiency.
In order to localize the edible oil industry, the Kenyan government is planning to develop palm plantation projects in the Lake and Coastal counties, and is welcoming the participation of international partners, including Malaysia, to promote employment, value-added processing and food security.