Palm-kernel oilcake market in Honduras

Earlier Report Observations

From 2018 to 2020, the market for palm-kernel oilcake in Honduras saw initial expansion followed by moderate growth. The state-influenced company Palmas Centroamericanas S.A. (PALCASA) significantly increased its palm oil extraction capacity to 60 tons per hour in 2018, strengthening the domestic production base for oilcake as a by-product. This capacity build-up, combined with the industry's ongoing focus on utilizing solid and liquid residues for energy and fertilizers, supported market volumes. By 2020, the market size reached over 101,000 t, up from 97,638 t in 2018.

The market contracted sharply in 2021 to 88,498 t, primarily due to extreme weather events and phytosanitary challenges that directly constrained palm fruit production and processing. This decline reversed in 2022 when the market volume jumped to 104,550 t. This recovery was closely tied to a doubling of Honduras's crude palm oil exports, which reflected improved sector performance and higher regional demand, leading to increased generation of oilcake as a processing residue.

In 2023, the market size receded to 97,676 t, coinciding with a period of relative price stability for palm oil. Over the full period, the market demonstrated volatility, influenced by production capacity, climatic factors, and the export dynamics of the primary palm oil sector.

Production palm-kernel oilcake in Honduras

In kind, 2017-2020, t

From 2017 to 2020, Honduras held the 7th position globally in palm-kernel oilcake production.

Top producers of palm-kernel oilcake, 2017-2020

World map of production of palm-kernel oilcake, 2017-2020

Palm-kernel oilcake production in Honduras grew for the third year in a row. In 2020, the country produced 93 100 tonnes, a 3.0% increase from 2019. Over the 2017-2020 period, production rose by 11.5%, with an average annual growth rate of 3.7%.

Annual dynamics of production in Honduras in kind, 2017-2020, t

Exports palm-kernel oilcake from Honduras

Exports in kind, t

In 2020, Honduras exported 3 252 tonnes of palm-kernel oilcake, a sharp 38.4% rise compared to 2019. However, from 2017 to 2020, exports fell by 47.1%, averaging an annual decline of 19.1%. The lowest export volume was in 2019 at 2 349 tonnes, while the peak was in 2018 at 6 547 tonnes. The most significant drop occurred in 2019, with a 64.1% decrease.

Annual dynamics of product's exports from Honduras in kind, 2017-2020, t

Between 2017 and 2020, El Salvador, Guatemala, and Nicaragua were the top destinations for Honduras' palm-kernel oilcake exports in volume terms. El Salvador accounted for 53.7% of exports, Guatemala for 19.3%, and Nicaragua for 18.6%, together making up 91.6% of total export flows.

Structure of product's exports in kind by countries, 2017-2020

World map of product's exports from Honduras in kind, 2017-2020

Exports in value, K $ US

Following two years of decline, Honduras' palm-kernel oilcake exports in value terms rebounded. In 2020, export value reached 693 thousand US dollars, a 37.4% improvement over 2019. Still, from 2017 to 2020, exports decreased by 27.5%, with an average annual rate of -10.2%. The lowest value was recorded in 2019 at 504 thousand US dollars, and the largest decline that year was 33.8%.

Annual dynamics of product's exports from Honduras in value, 2017-2020, K $ US

From 2017 to 2020, Nicaragua and El Salvador dominated Honduras' palm-kernel oilcake exports in value terms, jointly representing 80.0% of total flows, while other markets had smaller shares.

Structure of product's exports in value by countries, 2017-2020

World map of product's exports from Honduras in value, 2017-2020

Imports palm-kernel oilcake to Honduras

Imports in kind, t

After two years of decline, Honduras' palm-kernel oilcake imports in volume terms increased. In 2020, imports totaled 11 796 tonnes, up 40.9% from 2019. Yet, over the 2017-2020 period, imports dropped by 58.2%, averaging an annual decrease of 25.2%. The lowest import volume was in 2019 at 8 371 tonnes, with the steepest fall that year at 52.1%.

Annual dynamics of product's imports to Honduras in kind, 2017-2020, t

From 2017 to 2020, Free Zones, the United States, and Mexico were consistently the main sources for Honduras' palm-kernel oilcake imports in volume terms. Free Zones contributed 28.8% of imports, the United States 27.5%, and Mexico 11.7%, together accounting for 68.0% of total import flows.

Structure of product's imports in kind by countries, 2017-2020

World map of product's imports to Honduras in kind, 2017-2020

Imports in value, K $ US

The market showed volatility during these years. Imports peaked in 2017 and hit their lowest point in 2019, with a 4.5-fold difference between these years. In 2020, imports in value terms stood at 1 263 thousand US dollars, a 75.0% increase from the previous year. The minimum value was in 2019 at 722 thousand US dollars, and the largest decline that year was 57.8%.

Annual dynamics of product's imports to Honduras in value, 2017-2020, K $ US

Between 2017 and 2020, Free Zones, the United States, and Mexico formed the primary group for Honduras' palm-kernel oilcake imports in value terms. Free Zones made up 32.8% of imports, the United States 30.2%, and Mexico 12.4%, with a combined share of 75.5% of total flows.

Structure of product's imports in value by countries, 2017-2020

World map of product's imports to Honduras in value, 2017-2020