Rising palm oil prices in Yangon Market prompt authorities to implement control measures

The wholesale reference rate for palm oil in the Yangon market this week (from 22 to 28 January) has seen a slight increase, reaching K5,275 per viss compared to K5,250 last week (from 15 to 21 January), as reported by the Supervisory Committee on Edible Oil Import and Distribution. This reflects a rise of K25 per viss from the previous week.
Currently, the Supervisory Committee on Edible Oil Import and Distribution is actively monitoring the domestic palm oil price, aligning it with global prices. The committee determines the introductory wholesale reference rate for palm oil in the domestic market by comprehensively monitoring daily FOB prices in Malaysia and Indonesia, the major palm oil producers. This involves meticulous calculations considering all costs, including transport, banking, and other taxes and charges.
The Department of Consumer Affairs collaborates with edible oil traders, the Myanmar Edible Oil Dealers Association, and edible oil importers and companies to facilitate the transport and distribution of palm oil at a reasonable price. This initiative is crucial as retail prices for imported palm oil are currently soaring.
Despite the reference rate set by the committee, palm oil is being sold in the market at higher prices. Therefore, under the Ministry of Commerce, the Department of Consumer Affairs is implementing measures to reduce palm oil prices. The department urges the public not to purchase palm oil at inflated prices and encourages reporting to the department if high-priced palm oil is observed in the retail market.
Myanmar’s annual palm oil consumption is one million tonnes, while the country’s production is only 400,000 tonnes per year. Consequently, approximately 700,000 tonnes of palm oil must be imported annually from Malaysia and Indonesia. — NN/TMT