KUALA LUMPUR (Jan 16): The Malaysian Palm Oil Board (MPOB) will have to study the impact of the US-China phase one trade deal that was signed yesterday, because it will affect Malaysia palm oil sales as China will increase imports of US soybeans.
MPOB official Balu Nambiappan said Malaysia's oil palm industry, which has benefited in the earlier stages of the US-China trade tussle, will have to look for ways to move forward now with the phase one deal done as China is a price-sensitive market.
"But it is very early, we will have to study the trade deal signed yesterday in depth and see what are the things [that can be done]," Balu told reporters on the sidelines of MPOB's Review & Outlook Seminar 2020 here today.
CNN reported that US President Donald Trump on Wednesday signed an initial trade deal with senior Chinese leaders. The deal includes pledges from Beijing to more than double its purchases from American farmers in the first year.
"Among the products China has promised to buy more of: soybeans, wheat, cotton and pork. A senior administration official told reporters that the US would be ‘actively monitoring’ data sources from both countries to ensure that China is fulfilling its promise," CNN reported.