Pakistan: Cooking oil shortage looms as 300,000 tons of palm oil stuck at Port Qasim

Published 2025년 2월 3일

Tridge summary

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has warned of a potential cooking oil and ghee shortage during Ramadan due to customs clearance delays at Port Qasim, resulting in around 300,000 tons of palm oil remaining stranded. This has led to additional demurrage charges of $50-60 per ton on the vessels carrying palm oil and has also resulted in a rise in cooking oil prices in the market. The situation has also led to Indonesia and Malaysia suspending further palm oil shipments to Pakistan, causing financial losses for the industry and urgently called for the reinstatement of the previous clearance system.

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Original content

The Federation of Pakistan Chambers of Commerce and Industry (FPCCI) has warned of a potential shortage of cooking oil and ghee during Ramadan, as around 300,000 tons of palm oil remains stranded at Port Qasim due to customs clearance delays. The delay has led to additional demurrage charges of $50-60 per ton on the vessels carrying palm oil. Akram noted that cooking oil prices have already risen by Rs10 per kilogram in the past week and could increase by Rs25-30 per kilogram if the issue persists. FPCCI Vice President Nasir Khan stated that the crisis has impacted international trade, with Indonesia and Malaysia suspending further palm oil shipments to Pakistan. He pointed out that while the faceless customs system functions well for containerized cargo, it has created challenges for bulk cargo clearance. Pakistan Vanaspati Manufacturers Association (PVMA) Chairman Sheikh Omar Rehan reported that 10-12 vessels are currently waiting in the channel at Port Qasim. He warned that ...

Source: UkrAgroConsult