Surge In Global Energy Prices Support Bio-based Commodities  — Noraini 

KUALA LUMPUR, March 14 (Bernama) — The increase in global energy prices can potentially support demand for bio-based commodities such as palm oil, particularly in the biofuel sector, which can positively impact global prices.

According to the Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad, tensions in West Asia have contributed to rising global energy prices, indirectly influencing commodity prices, including palm oil.

“The Plantation and Commodities Ministry is monitoring closely developments in the geopolitical conflict in West Asia and its potential impact on global trade and commodity markets.

“Current developments have put pressure on global supply chains, particularly involving the energy, shipping, and logistics sectors,” she said in a statement today.

Additionally, Noraini said based on the ministry’s current assessment together with relevant agencies, exports of Malaysia’s main commodities, such as palm oil, rubber, pepper, cocoa, and wood-based products, are proceeding as usual.

“However, if the conflict continues for a prolonged period, the government expects logistics, transportation, and shipping insurance costs to rise, affecting operating costs,” she said.

The government will continue to work closely with industry players, regulatory agencies, and international trading partners to ensure smooth exports and the stability of the country’s commodity supply chain, she said.

“At the same time, the ministry will continue to strengthen the resilience of the plantation and commodities sector through market diversification strategies, increased productivity, and the strengthening of value-added Malaysian commodity products,” she added.

— BERNAMA