Kenya is turning to Malaysia’s well-established palm oil industry model in a bid to reform its own sector, focusing on improvements in logistics, supply chain efficiency, and supportive policy frameworks. The move follows a recent roundtable meeting in Nairobi between Malaysian Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani and 15 key representatives from Kenya’s oils and fats industry.

During the dialogue, Johari outlined Malaysia’s journey to becoming one of the world’s leading palm oil producers and exporters. He highlighted the country’s comprehensive approach to agricommodity development, which extends beyond palm oil into other sectors such as cocoa imports. Malaysia’s success, he noted, is largely driven by a long-term, integrated strategy involving infrastructure investment, streamlined regulatory policies, and consistent planning across multiple levels of government and industry.

“One of the most pressing issues raised was the high cost of logistics in the region, which can increase the price of palm-based products by up to 40 percent due to lengthy transport times to landlocked countries within East Africa,” Johari said in a statement after the roundtable. He explained that while Kenyan industry players are already importing Malaysian palm oil and processing it locally for distribution across East Africa, inefficiencies in logistics are significantly impacting pricing and market competitiveness.

Johari emphasized that Malaysia is open to working with Kenya to explore joint solutions that would reduce transportation and supply chain costs. He suggested potential collaboration on infrastructure development and the provision of technical support, which could ease distribution challenges and boost the region's economic performance. “If we can find the right solution, this sector holds great potential,” he said.

As part of this initiative, Johari extended an invitation to Kenyan stakeholders to visit Malaysia and observe its palm oil processing ecosystem firsthand. He said such visits would provide valuable insight into best practices and innovative systems that have helped Malaysia streamline its production and export processes. “This knowledge-sharing can help increase productivity and efficiency within Kenya’s domestic industry,” he added.

The engagement is part of Malaysia’s broader international strategy to promote trade, innovation, and technical cooperation, particularly in emerging markets with high growth potential. Johari noted that fostering such cross-border partnerships is essential for building resilient and interconnected agricommodity sectors, which are increasingly important in the global economy.

Kenya’s interest in Malaysia’s model reflects a growing awareness of the need for systemic reform in its palm oil industry. By learning from Malaysia’s experience, Kenyan stakeholders aim to create a more competitive, efficient, and sustainable sector that not only meets domestic demand but also strengthens regional trade.