Brexit to benefit Malaysian food exports
MALAYSIA’S food exports, especially palm oil, stand to reap trade opportunities through the changes created by the United Kingdom’s departure from the European Union.
Nordin Abdullah, managing director of Glenreagh, a Malaysian consultancy firm, said there would be increased opportunities for that country’s companies with the capacity to operate in highly regulated and competitive environments.
“It is no secret that certain countries in the EU are less receptive to imports of palm oil for protectionist reasons. Malaysia can now [re-examine] how they deal with the issue, as regulations and attitudes can change [after] the UK’s departure,” he said in a statement yesterday.
Nordin said that in the short term, both the UK and EU economies would be competing for increased trade and investments with external parties. “What we are seeing now is the opening rounds of a negotiation which is expected to take two years before a final deal is reached.
“It may be counterproductive to react too quickly and on every report. There is still a long way to go,” he added.
In February, Malaysia exported 153,165 tonnes of palm oil to the EU and 1,759 tonnes to the UK.
