FAIR & SEMINAR POTS RUSSIA 2013 MALAYSIAN PALM OIL: - - PowerPoint PPT Presentation
MALAYSIA RUSSIA PALM OIL TRADE FAIR & SEMINAR POTS RUSSIA 2013 MALAYSIAN PALM OIL: COMPLEMENTING RUSSIAS OILS & FATS REQUIREMENTS DR YUSOF BASIRON CEO, MALAYSIAN PALM OIL COUNCIL 16 SEPTEMBER 2013 THE RITZ-CARLTON, MOSCOW,
MALAYSIAN PALM OIL: COMPLEMENTING RUSSIA’S OILS & FATS REQUIREMENTS DR YUSOF BASIRON CEO, MALAYSIAN PALM OIL COUNCIL 16 SEPTEMBER 2013 THE RITZ-CARLTON, MOSCOW, RUSSIA
1990 2000 2010 2012 Palm Oil 11,013 21,874 46,011 53,446 Soybean Oil 16,097 25,531 40,217 41,758 Rapeseed Oil 8,160 14,470 23,966 24,444 Sunflower Oil 7,869 9,700 12,551 14,831 Others 37,752 43,130 49,813 51,776
20,000 30,000 40,000 50,000 60,000 (‘000 MT)
1990 2000 2010 2012 Palm Oil 11.08 21.75 45.57 51.74 Soybean Oil 16.13 25.17 39.13 41.68 Rapeseed Oil 8.2 14.27 23.62 24.13 Sunflower Oil 7.89 9.47 12.8 14.52 Others 37.61 43.09 50.59 51.54 Total 80.91 113.75 171.71 183.61 Population (billion) 5.27 6.07 6.77 7.02 Gross World Product (trillion USD) 27.54 43.61 74.54 83.12
80.91 113.75 171.71 183.61 5.27 6.07 6.77 7.02 27.54 43.61 74.54 83.12 10 20 30 40 50 60 70 80 90 20 40 60 80 100 120 140 160 180 200 1990 2000 2010 2012 (US$ Trillion) Consumption (Million MT) Global Population (Billion) Gross World Product (US$ Trillion)
Country Population (Million) Consumption (million MT) Kg/year China 1,354 34,290 25.32 EU-27 504 23,540 46.71 India 1,241 18,870 15.21 USA 315 17,470 55.46 Indonesia 242 8,310 34.34 Brazil 197 7,840 39.80 Pakistan 182 3,880 21.32 Argentina 41 3,500 85.37 Russia 143 3,220 22.52 Egypt 84 1,950 23.21
Palm Oil 14% Soybean Oil 20% Rapeseed Oil 10% Sunflower Oil 10% Others 46%
Palm Oil 28% Soybean Oil 23% Rapeseed Oil 13% Sunflower Oil 8% Others 28%
20,000 30,000 40,000 50,000 60,000 Palm Oil Soybean Oil Rapeseed Oil Sunflower Oil Others Series1 53,446 41,758 24,444 14,831 51,776
(‘000 MT)
Palm Oil 36% Soybean Oil 14% Rapeseed Oil 7% Sunflower Oil 9% Others 34%
Palm Oil 56% Soybean Oil 13% Rapeseed Oil 6% Sunflower Oil 10% Others 15%
NET IMPORTING AND EXPORTING COUNTRIES FOR OILS AND FATS (2012) – REFLECTING REAL AVAILABILITY
5,000 10,000 15,000 20,000 25,000 30,000 ('000 MT) Net Exporters Net Importers Indonesia Malaysia Argentina Brazil Canada Philippines Russia India EU-27 Ukraine China Pakistan Bangladesh Iran Mexico Egypt Nigeria Japan Turkey South Africa South Korea Taiwan Other North Africa
0.00% 2.00% 4.00% 6.00% 8.00% 10.00% 12.00% 14.00% 16.00% 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 2006 2007 2008 2009 2010 2011 2012 2013F
SUR CPO Price Forecasted CPO Average Forecasted CPO Higher Forcasted CPO Lower
Source : Oil World MPOC Estimates
(‘000 T) 2008 2009 2010 2011 2012E 2013F Opening Stock 18,027 19,790 20,947 22,056 23,263 26,636 Production 159,891 164,776 171,917 178,833 185,935 188,830 Import 60,983 63,670 65,861 66,980 71,439 73,042 Export 60,944 64,168 66,560 68,115 71,525 73,208 Consumption 158,168 163,121 170,108 176,491 182,478 187,432 Ending Stock 19,790 20,947 22,056 23,263 26,636 27,869 Stock Usage Ratio 12.51% 12.84% 12.97% 13.18% 14.60% 14.87%
300 500 700 900 1,100 1,300 1,500 1,700 1,900 2,100
Jan-02 Jul-02 Jan-03 Jul-03 Jan-04 Jul-04 Jan-05 Jul-05 Jan-06 Jul-06 Jan-07 Jul-07 Jan-08 Jul-08 Jan-09 Jul-09 Jan-10 Jul-10 Jan-11 Jul-11 Jan-12 Jul-12 Jan-13 Jul-13
Price (US$/MT)
CPO, Rott SBO, Rott SFO, Rott
Source: Oil World
Land Use Type Total Area (mil ha) As % Area Total Agricultural Land 4911 100 Oil Seeds 258.03 5.25 Soybean 103.88 2.12 Rapeseed 33.28 0.68 Sunflower 25.83 0.53 Oil Palm 14.14 0.29 Coconut 9.76 0.2 Other Oil Seeds 57.8 1.17 Malaysian Palm Oil 5.07 0.1
Source: FAO, Oil World (2012), MPOB (2012)
› 5.25 percent of total land area planted with oil seeds › Only 0.29 percent of world agricultural land is used for palm oil and Malaysian palm oil only took 0.1 percent
Oil Crop Production (Mn T) % of Total Production Average Oil Yield (t/ha/year) Total Area (Mn Ha) % Area Soybean 41.75 22.54 0.40 103.88 40.26 Sunflower 14.92 8.06 0.58 25.83 10.01 Rapeseed 24.21 13.07 0.73 33.28 12.90 Oil Palm1 66.96 36.15 4.73 14.14 5.48 Total2 160.21 258.03
Soybean Sunflower Rapeseed Oil Palm 0.40 0.58 0.73 4.73 Higher palm oil yields – a solution to land scarcity
Source: Oil World, Dec 2012
Note: 1 for palm oil and palm kernel oil 2 for 7 major oils (groundnut, coconut, cottonseed and above oils)
The FAO Food Price
For 2012 as a whole, the Index averaged 212, 7.0 percent less than in 2011, with the sharpest declines registered by sugar(17.1 percent), dairy products (14.5 percent) and
modest for cereals (2.4 percent) and meat (1.1 percent).
Source: http://www.fao.org/worldfoodsituation/wfs-home/foodpricesindex/en/
The FAO Oils/Fats Price Index
For 2012 as a whole, the index averaged 225, which compares with 252 in 2011. The main reason for the fall in December is the continued build-up of large global inventories of palm oil – as abundant production in Southeast Asia coincided with a protracted weakness
14.142 25.83 33.28 103.88 52.81 14.92 24.21 41.75
20 40 60 80 100 120
Palm oil Sunflower oil Rapeseed oil Soybean Oil Land Area (mil ha) Production (mil MT)
Source: Oil World, December 2012
Million ha / Million MT
2008 2009 2010 2011 2012 (MT) 15,412,512 15,880,744 16,664,068 17,993,265 17,575,486 14,000,000 14,500,000 15,000,000 15,500,000 16,000,000 16,500,000 17,000,000 17,500,000 18,000,000 18,500,000 (MT)
500,000 1,000,000 1,500,000 2,000,000 2,500,000 3,000,000
Stock Export Prod
Source: MPOB
The practice of frying foods to increase palatability and increase consumer appreciation is rated among the top 20 innovations in the food industry National Academy of Science, Royal Society, United Kingdom, Sept. 2012
7 8 16 7 7 13 14 15 27 43 51 72 87 26 62 62 15 28 23 18 47 38 18 4 55 26 21 71 57 54 54 9 10 2 3 3.5 10 1 1 8 1
0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Natreon Canola AOM 42 Natreon Sun AOM 53 Low lin Soy AOM 20 Low Lin canolca (C5) AOM 30 Canola AOM 18 Sunflower AOM 14 Com AOM 25 Soybean AOM 15 Cotton AOM 25 Lard AOM 25 Palm AOM 50
Sats Oleic 18:1 Linoleic 18:2 Linolenic 18:3
Source:
0 hrs. 10 hrs. 10 20 30 40 50 60 70 80 90 0 hrs. 10 hrs. 15 hrs. 20 hrs. 25 hrs. 30 hrs. 40 hrs. 45 hrs. 50 hrs. Lard Soya bean Palm Olein Time taken for Peak Peroxide Development PV or O2 uptake
An animal fat such as lard, despite low linoleic acid has limited frying capabilities. Palm olein is highly stable and a blend of olein with soybean oil may help provide better frying characteristics and consumer acceptance.
Deterioration during Frying
Oil hours FFA % Smoke point ˚C Viscosity (CP) Polymers % Foam Index * Peanut Oil 0.02 235 50 0.2 82 0.28 229 102 12.6 10.2 Palm olein 0.03 222 49 0.4 82 0.32 182 72 6.3 9.4
Longer shelf life of fried food with no rancid or off flavors produced for longer period as compared to other oils. Fried Packaged Products: Minimum of 6 to 12 months shelf life, therefore can stay much longer on the shelf as compared to foods fried in other oils.
Palm Oil IV 51 - 53 Olein IV 57 - 59 Super Olein IV 64 - 66 Top Olein IV 70 - 72 Soft PMF IV 42 - 48 Hard PMF IV 32 - 36 Hard Stearin IV 32 - 36 Soft Stearin IV 40 - 42 Super Stearin IV 17 - 21
Various tailor made fractions from palm are ideal for direct applications or as blended products throughout the food and frying industries.
Sundram et al. 2013
Subjects characteristics Females (n=133) Males (n=73) Mean ± SD Mean ± SD Age (yr) 41.35 ± 12.31 39.70 ± 12.676 Weight (kg) 58.76 ± 10.59 68.70 ± 13.39 Height (cm) 156.32 ± 6.1 165.57± 20.0 BMI (kg/m
2)
24.36 ± 5.08 24.17 ± 4.19 Waist Circumference (cm) 79.4 ± 11.17 84.60 ±12.99 Body Fat (%) 32.89 ± 6.13 24.68±6.12
Sundram et al. 2013
Canola, 0.6 Corn, 3.6 Olive, 0.6
Palm, 81.7%
Rice Bran Oil, 0.6
Sunflower, soya,
Canola Corn Olive Palm Rice Bran Oil Sunflower
Sundram et al. 2013
LDL particle size is a crucial determinant
Small LDL particles are the most atherogenic How diet influences LDL size is an active
unexplored!
Lipoprotein Particle Size unit Palm Oil Group Other PUFA Oils P value Total LDL nmol/L 1131±374 1116±416 NS Large LDL nmol/L 181±87 181±121 NS Medium LDL nmol/L 542±249 577±249 NS Small LDL nmol/L 407±340 357±363 NS Total HDL µmol/L 31±5 29±3 p=0.04 Small HDL µmol/L 16±5 13±4 p=0.01
The long term (>20 years) consumption of palm oil has similar effects as PUFA oils on LDL particles but on HDL particles, palm
Sundram et al. 2013
r-value p-value
Total LDL 0.206 0.025 Large LDL 0.056 0.547 Medium LDL
0.062 Small LDL 0.314 0.001
Sundram et al. 2013
In our regular diet, it is the carbohydrate content rather than fats that trigger adverse outcomes for LDL particles and coronary heart disease.
Total LDL 0.053 NS Large LDL
NS Medium LDL
0.05 Small LDL 0.188 NS
Sundram et al. 2013
Fat consumption is the form of palm oil had no adverse outcomes on LDL particles after >20 years consumption
Total trade value between Malaysia and Russia was USD1.05 billion in
2012.
Total Malaysian exports to Russia was USD390 million and palm oil and
its fractions are Malaysia’s main exports to Russia accounted for 8.2% of the total trade.
Malaysia imported USD660 million worth of goods from Russia in the
form of petroleum products, mineral or chemical fertilisers, copper wire and other minerals.
Sunflowerseed oil (SFO) is priced higher than palm oil (CPO) in the global
Hence, Russian traders should capitalise in exporting more Russian SFO
in the international market and increase import of Malaysian palm oil which commands a significantly lower price than SFO.
Palm oil will thus enhance export competitiveness of oils and fats finished
goods and further increase export and trade opportunity among Russian trading partners such as the CIS countries.
Palm Oil & Its Fractions Electrical Products and Components Apparel and Clothing Accessories Furniture & Parts Printing Machinery & Parts Animal or Vegetable Fats, Oils & Their Fractions Others
Petroleum Oils, Crude Mineral Oils Mineral or Chemical Fertilisers, Potassic Copper Wire Copper Bars, Rods & Profiles Other Mineral or Chemical Fertilisers Synthetic Rubber & Factice Derived from Oils Others
Source: Oil World
500 1000 1500 2000 2500 2008 2009 2010 2011 2012
(‘000 MT)
Sunfloweroil Palm oil Butter,as fat Lard Soybean oil Rapeseed oil Coconut oil Tallow&Grease Palmkern oil Others
for 14% of total usage of oils and fats.
processing industry. This will boost the demand for oils and fats including palm oil.
approximately 626,000 MT of palm oil, an increase of 10.6% from 2011.
about 69% of total oils and fats imports.
In humans, TFA increases total and LDL-cholesterol and reduces
beneficial HDL-cholesterol; this increases risk for CHD.
Liquid vegetable oils must be hydrogenated to produce solid fats,
leading to the formation of TFA.
Palm oil is semi solid in nature; no hydrogenation is required and
hence, contains no TFA, which makes it a healthy substitute for TFA.
This has led to significant increased demand for palm in solid fat
formulations.
Palm oil, being a vegetable oils, is cholesterol-free. Having a naturally semi
solid characteristic at room temperature with a specific origin melting point between 33ºC to 39ºC, it does not require hydrogenation for use as a food an ingredient.
Palm oil has a balanced ratio of unsaturated and saturated fatty acids. It
contains 40% oleic acid (monounsaturated fatty acid), 10% linoleic acid (polyunsaturated fatty acid ), 45% palmitic acid and 5% stearic acid (saturated fatty acid). This composition results in an edible oil that is suitable for use in a variety of food applications.
Similarly, palm olein is widely used as a frying oil and much of its
popularity is due to its good resistance to oxidation and formation of breakdown products at frying temperatures and longer shelf life of finished products. In fact, palm olein is considered as the gold standard in frying and is perhaps, on its own, the most widely used frying oil in the world! It also blends perfectly with other popular vegetable oils that are traditionally used in many parts of the world.
Palm stearin is a very useful source of fully natural hard fat component for
products such as shortening and pastry and bakery margarines.
Palm kernel oil, palm kernel olein and palm kernel stearin find uses in
margarine, confectioneries, coffee whitener, filled milk, biscuit cream and coating fats; with little or no further processing. There is a growing trend to use palm kernel oil products as an ingredient in the production of non- hydrogenated trans fat free margarine.
Palm kernel stearin is widely used to substitute for the more expensive
cocoa butter in many of its traditional applications.
Palm stearin is a very useful source of fully natural hard fat component for
products such as shortening and pastry and bakery margarines.
Palm kernel oil, palm kernel olein and palm kernel stearin find uses in
margarine, confectioneries, coffee whitener, filled milk, biscuit cream and coating fats; with little or no further processing. There is a growing trend to use palm kernel oil products as an ingredient in the production of non- hydrogenated trans fat free margarine.
Palm kernel stearin is widely used to substitute for the more expensive
cocoa butter in many of its traditional applications.
palm oil as one of its ingredients.
land availability for agriculture.
certification processes.
global markets and supported by its technical and quality benchmarks.
could be used advantageously in the CIS region creating more demand for such palm based products.
by exporting more SFO and thus committing the savings to higher palm oil usage.
for export will be a significant profit driver for the Russian oils and fats industry.
through increased technical support to our end users.
Visit my blog: http:/ / www.ceopalmoil.com