PALMOILMAGAZINE, JAKARTA – Palm oil is a crucial agricultural commodity that holds significant importance in global markets. Thailand, Colombia, and Nigeria are actively involved in palm oil production worldwide.
According to information sourced from the United States Department of Agriculture (USDA), Thailand is recognized as an advanced country in palm oil production within Southeast Asia. The country’s palm oil production amounts to approximately 3,450 tons. However, despite the substantial production, Thailand’s market share globally is only 4%, indicating intense competition with other palm oil-producing nations in the international markets.
Most of palm oil production in Thailand derived from two major regions, they are, South ones with the market reaching 90%, and central plain that covered 8%.
Palm oil plantations in Thailand play important roles in agricultural and industrial sectors. But the low markets from Thailand showed there are some potential to escalate palm oil competition and exports in the globe.
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The second, Colombia which could produce palm oil up to about 1.800 tons. Though the numbers were smaller than those in Thailand, Colombia could market its production up to 2% in the globe.
Colombia has some regions to produce palm oil, they are, Meta with the markets reaching 38%, Santander about 13%, Cesar about 13%, Casanare about 11%, and Magdalena about 8%.
Though palm oil markets from Colombia were lower than those in Thailand, Colombia has potential to increase and compete in the global markets. It needs the right strategies and investments to escalate the quality and quantity of production, expand the markets to exporter countries.
The next, Nigeria which is one biggest palm oil producer in Africa. Nigeria could produce up to 1.400 tons with the markets reaching 2% of the total production globally.
Nigeria has some equal regions to produce palm oil, they are, South-South with the markets reaching 35%, South – West about 33%, and South-East about 13%.
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It is promising to develop palm oil production in the country because Nigeria has wide areas and supporting climate to plant palm oil. By having increasing investment and supports from the government, Nigeria could potentially escalate the future production and markets.
Though the three countries have significant palm oil production, the relatively small scale – markets showed the challenges to escalate competition in the globe, such as, competition with other producer countries, trade regulation substitutions, environment policies, dependence on weather and climates. (T2)
