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  • Where does Pakistan import palm oil?
  • Refined palm oil accounts for ~98% of Pakistan’s total edible oil imports and is sourced mainly from Malaysia and Indonesia. Pakistan is the fourth-largest importer of palm oil globally, and it is forecast to import ~3.6mln MT of palm oil in FY22, according to the USDA.
  • How is edible oil demand met in Pakistan?
  • Local edible oil demand is met through both crushing of oil seeds and import of cooking oil. Cottonseed is the principal oilseed crop grown in Pakistan, accounting for an average of ~87% of domestic oilseed production in the last 5 years. Cottonseed demand is met through local produce only.
  • How much does edible oil cost in Pakistan?
  • Average local price of edible oil during FY21 is recorded at PKR~345/kg as compared to PKR~275/kg during FY20 (YoY Growth: 25%). With a per capita consumption of 22kg, Pakistan is the world’s 8th largest consumer of edible oil.
  • Why is Pakistan a major importer of refined palm oil?
  • Although Pakistan’s duty structure is designed to facilitate oilseed imports through reduced tariffs and fees as a means of shifting value addition to the domestic oil production industry but still the country is one of the world’s largest importers of refined palm oil.
  • Which country produces the most palm oil in the world?
  • USA is the largest producer of soybean seeds in the world, Malaysia and Indonesia are largest exporters of palm oil whereas india is the largest importer of edible oil. An increase of almost ~16% YoY in USA crops led to an overall increase in global production for MY21.
  • How did Pakistan's edible oil market perform in FY21?
  • Pakistan’s edible oil market was recorded at USD~9,276mln in FY21 registering a YoY growth of ~10% (FY20: USD~8,413mln). Local consumption was recorded at ~4.8mln MTs in FY21 up ~1% YoY (FY20:~4.7mln MTs). This reflects that the growth in revenue was majorly contributed by a spike in prices (in dollar terms) of inputs (oil seeds).