Asian Palm Oil Alliance (APOA)

Why in news?

• Edible oil trade associations from five palm oil importing countries in South Asia – India, Pakistan, Sri Lanka, Bangladesh and Nepal announced the setting up of Asian Palm Oil Alliance (APOA).

About Asian Palm Oil Alliance (APOA):

• It aims to:
  • Safeguard the economic and business interests of the palm oil consuming countries and will work towards increasing the consumption of palm oil in member countries.
  • Work towards ensuring that palm oil is recognised as a high-quality, economical, and healthy vegetable oil and to change the negative image of palm oil.

Members:

• India, Pakistan, Sri Lanka, Bangladesh and Nepal

What is the significance of this alliance?

• Asia accounts for around 40% of the global palm oil consumption while Europe accounts for 12% of the palm oil trade.
• Indonesia and Malaysia are the biggest palm oil exporters in the world.
• India is the largest importer of palm oil in Asia, accounting for 15% of global imports, followed by China (9%), Pakistan (4%) and Bangladesh (2%).
• India’s annual imports of edible oil are around 13-14 million tonnes (MT). Around 8 MT of palm oil is imported from Indonesia and Malaysia while other oils, such as soya and sunflower, come from Argentina, Brazil, Ukraine and Russia.

PRACTICE QUESTION

Consider the following statements:

1. India is the largest importer of palm oil in Asia

2. Both India and Pakistan are members of Asian Palm Oil Alliance (APOA).

Which of the statements given above is/are correct?

(a) 1 only

(b) 2 only

(c) Both 1 and 2

(d) Neither 1 nor 2

Answer