Polish Oils and Fats Updates Opportunities for Malaysian Palm Oil Trade in Poland
Outline of this Presentation Introduction Overview on Polish Oils and Fats Palm Oil in Poland Trends and Prospects for Polish Market How Palm Oil Can Complement The Polish Market Conclusions and Recommendations
Poland – Important Destination for MPO • Poland has become one of the most important palm oil importers in the Central and Eastern Europe (CEE) region. • Palm oil export from Malaysia to Poland in 2014 was at 35,200 MT (Oil World) . This makes Poland an emerging market for MPO in the region that includes Romania, Bulgaria and new EU member state, Croatia.
Palm Oil Exports from Malaysia to Major Oils and Fats Users in CEE Region (Jan-Dec 2013-2014) - MT Country 2014 2013 Change (Volume) Change (%) 15,700 9,000 Bulgaria 6,700 74.44 Croatia 4,700 4,500 200 4.44 35,200 35,900 Poland (700) (1.95) Romania 10,300 13,000 (2,700) (20.77) Total 65,900 62,400 3,500 5.61 Source: Oil World
Overview on Polish Oils and Fats
Poland is the biggest producer of rapeseed oil among the countries in the CEE region. Crushings were at the highest level in 5 years when a total of 2,460,300 MT of oilseeds were crushed in 2014. 2,400,000 MT or 97.5% of the crushings was for rapeseed. Crushings and Trade (with 3rd countries) of Oilseeds (1000 T) 2013 2014 2012 2011 2010 Crushings Soybeans 34.7 50.0 15.6 24.8 9.2 Rapeseed 2400.0 2290.0 2080.0 1990.0 2340.0 Sesameseed 5.0 5.0 5.0 5.5 5.8 Linseed 20.6 15.0 14.5 11.6 10.0 Total 2460.3 2360.0 2115.0 2031.8 2364.9 Source: Oil World
Crushings and Trade (with 3rd countries) of Oilseeds (1000 T) 2013 2014 2012 2011 2010 Imports Soybeans 24.6 45.0 10.6 19.6 3.6 Groundnuts 26.7 25.2 21.9 24.5 26.7 Sunflowerseed 12.9 13.3 13.2 11.7 8.4 Rapeseed 137.8 231.6 343.0 242.7 144.4 Sesameseed 8.9 9.2 8.6 9.0 8.8 Linseed 27.0 21.0 14.6 7.0 5.2 Total 238.0 345.3 411.8 314.4 197.1 Exports 0.2 0.3 Sunflowerseed 0.1 0.1 0.2 0.1 57.8 Rapeseed 0.1 0.1 0.1 0.1 Linseed 0.2 0.1 0.1 0 0.4 58.2 Total 0.3 0.2 0.3 Source: Oil World
Oilseeds Trade • Domestic rapeseeds are traded within the EU member states. In 2014, Poland exported most of its rapeseed to Germany, Belgium-Lux and the Netherlands. • Trade with third countries include rapeseed import from Ukraine and other parts of Europe namely Moldova and Russia. Poland also imports its rapeseed from other EU Member States such as Slovakia, Czech Republic, the Netherlands and Lithuania. • Sunflowerseed is also another oilseed imported. Major trading sunflowerseed partners in the EU include Bulgaria and Hungary as well as from Moldova. • Another oilseed imported is soybean and most of its soybean imports came from Ukraine, as recorded in 2014.
Oils and Fats Production • Rapeseed oil is the main vegetable oil produced in the oils and fats sector. In 2014, 998,000 MT of rapeseed oil was produced, registering a growth of 36% from 733,200 MT recorded back in 2008. • Larger planting and harvested areas as well as improved yields per hectare have contributed to the greater rapeseed outputs over the years. • Poland has also maintained its production of lard with an average of 226,280 MT of lard produced annually since 5 years ago. Other oils and fats such as butter as fat as well as tallow and grease sum up the country’s total production.
Oils and Fats Exports • Rapeseed oil is also a major export for Poland. In 2014, it accounted for 88% of total domestic exports of oils and fats, a growth of 40% from a year ago. • Key destinations of Polish rapeseed oil are the EU countries, namely Czech Republic, Germany and Slovakia. • Other exports include butter as fat, lard, tallow and grease as well as sunflower oil.
Rapeseed Oil Is The Major Oil Produced in Poland 1600 1400 1200 Rapeseed oil 1000 (1000 T) Butter as fat 800 Lard Tallow & Grease 600 Others 400 200 0 2010 2011 2012 2013 2014 Source: Oil World
Biodiesel Is Gaining Importance 1600 1400 1200 1000 (1000 T) 800 600 400 200 0 2007 2008 2009 2010 2011 2012 2013 2014 for Biodiesel for Other Uses Source: Oil World
Palm Oil in Poland
Oils and Fats Imports • To complement domestic requirements in the oils and fats sector, Poland imported a total of 660,700 MT of oils and fats in 2014, higher than 619,100 MT imported a year earlier. • Palm oil is the main imported vegetable oil and second most consumed vegetable oil in the country after rapeseed oil. • The demand for palm oil and its derivative products continues to increase from year to year leading to the boost in the import figures. In 2014, palm oil import into Poland was at 214,500 MT, accounting for 32% of total imports. This was an increase of 26.4% from 169,700 MT of palm oil that was imported in 2010.
Palm Oil Is The Most Imported Vegetable Oil 700 600 500 Palm oil Rapeseed oil 400 (1000 T) Soybean oil Sunflower oil 300 Palm kernel oil 200 Others 100 0 2010 2011 2012 2013 2014 Source: Oil World
Palm Oil Is The Third Most Consumed Oils and Fats After Rapeseed Oil and Lard 1800 1600 1400 RSO Lard 1200 PO (1000 T) 1000 Butter as fat 800 SBO SFO 600 T&G 400 Others 200 0 2010 2011 2012 2013 2014 Source: Oil World
Palm Oil Import • The EU was the major trading partner for Poland as most of its palm oil was imported from the EU. Last year, palm oil import from the EU was at 175,600 MT, followed by Malaysia with 35,200 MT. • Main palm oil products exported to Poland from Malaysia are RBD palm oil, RBD palm stearin and cooking oil. (MPOB) • Other palm products exported to Poland from Malaysia include palm kernel oil (palm kernel fatty acid distillates), oleochemicals (soap noodles) and finished products (shortening and cocoa butter substitute). A significant amount of palm kernel shell was also exported to Poland in 2014 – 77,040 MT vs 24,621 MT (2013).
Palm Kernel Shell for Biomass Industry • BMC bioPOWER is a Polish company extracting and importing biomass for energetic purposes. • Palm Kernel Shells (or PKS) are the shell fractions left after the nut has been removed in the palm oil mill. Its high calorific values (on the average 4000 Kcal/kg) and low content of ash and sulphur recently have made it an attractive renewable energy fuel. • Palm Kernel Shell can be burned as an independent eco fuel or, as a natural, high quality pellet, burn in cogeneration kettle as an addition to coal (in this form it significantly reduces the CO 2 emission). • PKS can also be used as an addition to other biomass fuels.
Trends and Prospects for Polish Market
Highlights in Oils and Fats Market • Current value sales of oils and fats grow by 2% to reach PLN5.4 billion in 2014. • Trend towards healthier and natural products influences oils and fats in Poland. • Best performance of 6% current value growth was seen in butter in 2014. • The average unit price of oils and fats increased in 2014, with butter seeing the strongest increase of 2%. • ZT Kruszwica SA led sales with 21% value share in 2014. • Oils and fats is expected to see a 1% volume CAGR over the forecast period.
Trends in Oils and Fats Market • There is an increasing importance to a healthy lifestyle, looking for less processed food. More people are experimenting in the kitchen, prioritising genuine ingredients and traditional Polish cuisine, but prepared in a healthier way than ever before. • Growing demand for natural products such as butter. • Products with health and wellness-related properties such as functional or fortified spreadable oils and fats will see faster development than regular spreadable oils and fats. • Consumers are seeking for ways to lower cholesterol through consumption of spreadable oils and fats with plant sterols and stanols, reducing cardiovascular risk.
Trends in Oils and Fats Market • Rapeseed oil is set to be the most popular vegetable and seed oil, accounting for 83% value share in 2014. The reasonable prices and width of applications, such as frying, baking or addition to salads, cause local consumers to generally use rapeseed oil on a daily basis. It is the main oil plant cultivated in Poland and the high supply of raw materials promotes its use in production of vegetable and seed oils. • Increasing awareness on hydrogenated and trans-fats from the daily diet. Published articles and information on the content of trans-fats not only in margarine, but also in spreadable oils and fats.
Prospects in Oils and Fats Market • Oils and fats is expected to see a marginal constant value growth over the forecast period as the category already has reached a level of saturation with limited potential for further significant growth. • Health awareness is likely to influence oils and fats in the coming years as products with health and wellness-related properties such as functional spreadable oils and fats, butter and olive oil are expected to have strong growth potential. • Changing consumer habits as more are expected to prioritise the importance of healthy cooking.
Recommend
More recommend
