Palm oil and fractions market in Belgium

Earlier Report Observations

In 2018 and 2019, the Belgian market for palm oil and fractions grew in volume from 541 thousand tons to 563 thousand tons. During this period, non-governmental organizations were criticizing the effectiveness of sustainable palm oil certification and advocating for binding regulations, while the European Commission announced plans to phase out palm oil from biofuels starting in 2023.

A major shift occurred in 2022 when Belgium implemented a ban on using palm oil in biofuels, which took full effect in January 2023. This policy directly reduced consumption in the biodiesel sector, leading to a market volume decline to 378 thousand tons in 2023 and a further drop to 248 thousand tons in 2024. In 2024, Belgian authorities requested a European investigation into potential fraud with banned palm oil in biofuels, and global prices were influenced by El Niño and strong demand from Asia.

Production palm oil and fractions in Belgium

In value, 2017-2020, M $ US

Belgium's palm oil and fractions production declined for the second consecutive year. In 2019, output was valued at 87.0 million US dollars, marking a 19.1% decrease compared to 2018. From 2017 to 2019, production fell by 19.5%, which translates to an annualized decline rate of 7.0%.

Annual dynamics of production in Belgium in value, 2017-2020, M $ US

In kind, 2017-2020, K t

Between 2017 and 2020, Belgium ranked as the 28th largest producer of palm oil and fractions globally.

Top producers of palm oil and fractions, 2017-2020

World map of production of palm oil and fractions, 2017-2020

In 2019, Belgium produced 102.0 thousand tonnes of palm oil and fractions, showing a modest decline of 9.2% from the previous year. Over the 2017-2019 period, production decreased by 3.9%, with a compound annual growth rate of -1.3%. The highest production level was recorded in 2018 at 112.3 thousand tonnes, which also saw the largest increase of 5.8%.

Annual dynamics of production in Belgium in kind, 2017-2020, K t

Exports palm oil and fractions from Belgium

Exports in kind, K t

The data shows irregular changes, pointing to a volatile market environment. Belgium exported 32.2 thousand tonnes of palm oil and fractions in 2020, reflecting a solid year-over-year increase of 10.7%. The minimum export volume was 29.1 thousand tonnes in 2019, while the maximum reached 60.3 thousand tonnes in 2018. From 2018 to 2019, exports experienced a peak-to-trough amplitude of 2.1 times. The largest decline occurred in 2019 at 51.8%, and the largest increase was in 2018 at 75.5%.

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

From 2017 to 2020, Germany, the Netherlands, and France were consistently the main destinations for Belgium's palm oil and fractions exports in kind. Germany accounted for 52.3% of exports, the Netherlands for 20.8%, and France for 11.2%, together making up 84.3% of total export flows.

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

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

Exports in value, M $ US

Belgium exported 36.3 million US dollars worth of palm oil and fractions in 2020, representing a notable year-over-year gain of 20.8%. Between 2017 and 2020, exports decreased by 5.5%, equating to an annualized decline rate of 1.9%. The minimum value was recorded in 2019 at 30.1 million US dollars, and the maximum in 2018 at 58.9 million US dollars. The largest decline was in 2019 at 48.9%, while the largest increase occurred in 2018 at 53.2%.

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

Over the 2017-2020 period, Germany, the Netherlands, and France were the primary destinations for Belgium's palm oil and fractions exports in value terms. Germany absorbed 52.0% of exports, the Netherlands 17.4%, and France 10.9%, together accounting for 80.4% of total export value.

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

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

Imports palm oil and fractions to Belgium

Imports in kind, K t

Belgium's volume of palm oil and fractions imports increased for the second consecutive year. In 2020, imports reached 604.8 thousand tonnes, indicating a strong gain of 23.5% from the previous year. Over the 2017-2020 period, imports grew by 14.4%, with a compound annual growth rate of 4.6%. The minimum import volume was 489.2 thousand tonnes in 2018, which also saw the largest decline of 7.5%.

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

From 2017 to 2020, the Netherlands was the principal source for Belgium's palm oil and fractions imports in kind, accounting for 74.1% of total imports, while other countries contributed to a smaller share.

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

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

Imports in value, M $ US

After a two-year reduction, Belgium's palm oil and fractions imports increased. In 2020, imports were recorded at 467.4 million US dollars, equivalent to a steep gain of 30.3% compared to the previous year. The minimum value was 358.8 million US dollars in 2019, and the largest decline occurred in 2018 at 12.3%.

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

In the 2017-2020 period, the Netherlands accounted for 73.5% of Belgium's total palm oil and fractions imports in value terms, with the remaining flows distributed among a broad group of smaller countries.

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

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