KUALA LUMPUR, March 28 (Bernama) -- Malaysia's export prices rose by 0.1 percent to 151.2 points in February 2025 compared to January 2025, according to the Department of Statistics Malaysia (DOSM). Import prices also climbed 0.3 percent to 128.1 points, primarily driven by increases in mineral fuels.
Chief statistician Datuk Seri Dr Mohd Uzir Mahidin noted that the rise in export prices was mainly due to a 2.5 percent increase in the indices of mineral fuels, a 0.7 percent rise in food, and a 0.6 percent increase in miscellaneous manufactured articles. However, the export volume index fell by 3.8 percent, influenced by a significant reduction in the index of mineral fuels (12.4 percent), as well as declines in animal and vegetable oils and fats (5.0 percent) and machinery and transport equipment (4.7 percent).
“The seasonally adjusted export volume index was up 2.3 percent to 162.8 points. In terms of year-on-year comparison, both the unit value index and volume index saw increases of 2.8 percent and 3.3 percent, respectively,” he stated in a press release.
On the import side, the index of mineral fuels (+2.0 percent), miscellaneous manufactured articles (+0.4 percent), and food (+0.1 percent) contributed to a 0.3 percent increase in the import unit value index in February 2025. However, the import volume index experienced a sharp decline of 11.6 percent compared to January 2025, largely due to decreases in the index of manufactured goods (17.9 percent), machinery and transport equipment (15.9 percent), and miscellaneous manufactured articles (11.4 percent).
The seasonally adjusted import volume index fell by 2.0 percent, dropping to 208.7 points from 212.9 points. A year-on-year comparison revealed a 1.4 percent decline in the unit value index, while the volume index rose by 7.0 percent.
Furthermore, Malaysia's terms of trade dropped by 0.2 percent month-on-month to 118.2 points in February 2025, influenced by decreases in the index of animal and vegetable oils and fats (2.0 percent), machinery and transport equipment (0.5 percent), and manufactured goods (0.1 percent). Despite this monthly decline, the terms of trade increased by 4.2 percent year-on-year.
In a related development, Malaysian palm oil futures rose for the third consecutive session on Friday, March 28, 2025, buoyed by strong demand ahead of the Islamic holiday of Eid al-Fitr and robust performance of rival vegetable oils. The benchmark palm oil contract FCPO1! for June delivery on the Bursa Malaysia Derivatives Exchange gained 80 ringgit, or 1.86 percent, reaching 4,392 ringgit ($991.20) per metric ton by midday.
This contract has gained 0.39 percent for the week ending March 28, 2025, marking its first weekly gain in three weeks. A Kuala Lumpur-based trader commented, “Today, crude palm oil future is up on the back of strong physical demand due to next week's holiday and supported by strong Dalian prices.”
Notably, Bursa Malaysia will be closed on Monday, March 31, 2025, and Tuesday, April 1, 2025, if Eid falls on Monday, March 31, but will operate under normal trading hours on Monday should Eid be observed on Tuesday.
In the global market, the most-active soyoil contract in the Dalian Commodity Exchange (DBYcv1) rose by 0.71 percent, while its palm oil contract (CPO1!) surged by 2.48 percent. Soyoil prices on the Chicago Board of Trade (CBOT) (BOc2) also saw a modest increase of 0.18 percent.
Moreover, Indonesia has raised its crude palm oil reference price for April 2025 to $961.54 per metric ton. Interestingly, Indonesia's palm oil inventory at the end of January 2025 increased by 13.98 percent month-on-month, despite a drop in production, as exports fell to a four-month low, according to data from the Indonesian Palm Oil Association (GAPKI).
These developments highlight the fluctuating dynamics of Malaysia's export and import markets, influenced heavily by global commodity prices and seasonal demand trends. As Malaysia gears up for the upcoming Eid celebrations, the agricultural sector, particularly palm oil, is poised to play a crucial role in the nation’s economic landscape.
