The Malaysian Palm Oil Board (MPOB) is stepping up efforts to develop a transparent and active market for used cooking oil (UCO), urging industry players and the public to participate in its trading as part of Malaysia’s circular economy drive.
To support this, MPOB has launched a free price reference portal for UCO, aimed at improving transaction transparency and strengthening price discovery across the domestic market.
The initiative, under the Plantation and Commodities Ministry, seeks to reduce uncertainty within the oil palm value chain.
MPOB Director-General Datuk Dr Ahmad Parveez Ghulam Kadir said the reference pricing system provides a reliable benchmark, helping build a more transparent and inclusive UCO supply chain while enhancing market integrity.
He noted that UCO is gaining global traction as a key feedstock for sustainable energy products, including biodiesel and sustainable aviation fuel (SAF), as the aviation industry pushes toward net-zero emissions by 2050.
He highlighted that demand for SAF alone is projected to grow three- to five-fold by 2030, driving greater need for low-carbon raw materials like UCO.
With high consumption of palm-based cooking oil across households and food service sectors, MPOB said Malaysia is well-positioned to tap into the growing UCO market and strengthen its role in the global sustainable energy supply chain.
