Malaysia: Areca Nut Market 2025

Areca Nut Market Size in Malaysia

In 2022, the Malaysian areca nut market decreased by -70.6% to $X, falling for the second year in a row after two years of growth. In general, consumption continues to indicate a deep reduction. Over the period under review, the market reached the maximum level at $X in 2016; however, from 2017 to 2022, consumption failed to regain momentum.

Areca Nut Production in Malaysia

In value terms, areca nut production dropped to $X in 2022 estimated in export price. Over the period under review, production continues to indicate a abrupt descent. The pace of growth appeared the most rapid in 2021 with an increase of 25% against the previous year. Over the period under review, production reached the peak level at $X in 2013; however, from 2014 to 2022, production remained at a lower figure.

In 2022, the average areca nut yield in Malaysia declined remarkably to X tons per ha, reducing by -56.7% on 2021. Over the period under review, the yield, however, continues to indicate a resilient increase. The growth pace was the most rapid in 2015 with an increase of 145% against the previous year. The areca nut yield peaked at X tons per ha in 2021, and then reduced notably in the following year. Despite the increased use of modern agricultural techniques and methods, future yield figures may still be impacted by adverse weather conditions.

In 2022, approx. X ha of areca nuts were harvested in Malaysia; increasing by 100% on the previous year. Over the period under review, the harvested area, however, saw a abrupt decline. The areca nut harvested area peaked at X ha in 2014; however, from 2015 to 2022, the harvested area failed to regain momentum.

Areca Nut Exports

Exports from Malaysia

In 2022, shipments abroad of areca nuts was finally on the rise to reach X tons for the first time since 2018, thus ending a three-year declining trend. Overall, exports saw a resilient expansion. The pace of growth appeared the most rapid in 2018 when exports increased by 326%. As a result, the exports attained the peak of X tons. From 2019 to 2022, the growth of the exports remained at a lower figure.

In value terms, areca nut exports totaled $X in 2022. Over the period under review, exports saw a resilient increase. The growth pace was the most rapid in 2018 when exports increased by 125%. As a result, the exports attained the peak of $X. From 2019 to 2022, the growth of the exports failed to regain momentum.

Exports by Country

India (X tons) was the main destination for areca nut exports from Malaysia, accounting for a 81% share of total exports. Moreover, areca nut exports to India exceeded the volume sent to the second major destination, South Africa (X tons), fivefold.

From 2012 to 2022, the average annual growth rate of volume to India stood at +111.7%. Exports to the other major destinations recorded the following average annual rates of exports growth: South Africa (+23.4% per year) and Singapore (-7.6% per year).

In value terms, the largest markets for areca nut exported from Malaysia were India ($X), South Africa ($X) and Singapore ($X), with a combined 99% share of total exports.

In terms of the main countries of destination, India, with a CAGR of +112.6%, saw the highest growth rate of the value of exports, over the period under review, while shipments for the other leaders experienced mixed trend patterns.

Export Prices by Country

The average areca nut export price stood at $X per ton in 2022, reducing by -8.7% against the previous year. Over the period under review, the export price showed a relatively flat trend pattern. The most prominent rate of growth was recorded in 2017 when the average export price increased by 73% against the previous year. As a result, the export price reached the peak level of $X per ton. From 2018 to 2022, the average export prices failed to regain momentum.

There were significant differences in the average prices for the major foreign markets. In 2022, amid the top suppliers, the country with the highest price was South Africa ($X per ton), while the average price for exports to India ($X per ton) was amongst the lowest.

From 2012 to 2022, the most notable rate of growth in terms of prices was recorded for supplies to Pakistan (+8.5%), while the prices for the other major destinations experienced mixed trend patterns.

Areca Nut Imports

Imports into Malaysia

In 2022, purchases abroad of areca nuts decreased by -24.2% to X tons for the first time since 2019, thus ending a two-year rising trend. Over the period under review, imports, however, posted resilient growth. The most prominent rate of growth was recorded in 2013 when imports increased by 332%. Imports peaked at X tons in 2021, and then shrank significantly in the following year.

In value terms, areca nut imports dropped markedly to $X in 2022. Overall, imports, however, showed a strong expansion. The most prominent rate of growth was recorded in 2013 with an increase of 274%. Over the period under review, imports reached the maximum at $X in 2021, and then dropped notably in the following year.

Imports by Country

In 2022, Myanmar (X tons) was the main supplier of areca nut to Malaysia, with a approx. 100% share of total imports.

From 2012 to 2022, the average annual rate of growth in terms of volume from Myanmar stood at +14.7%.

In value terms, Myanmar ($X) constituted the largest supplier of areca nuts to Malaysia.

From 2012 to 2022, the average annual growth rate of value from Myanmar amounted to +19.1%.

Import Prices by Country

The average areca nut import price stood at $X per ton in 2022, waning by -3.2% against the previous year. Overall, import price indicated notable growth from 2012 to 2022: its price increased at an average annual rate of +3.9% over the last decade. The trend pattern, however, indicated some noticeable fluctuations being recorded throughout the analyzed period. Based on 2022 figures, areca nut import price increased by +10.7% against 2019 indices. The pace of growth was the most pronounced in 2014 an increase of 34% against the previous year. Over the period under review, average import prices attained the maximum at $X per ton in 2021, and then reduced in the following year.

As there is only one major supplying country, the average price level is determined by prices for Myanmar.

From 2012 to 2022, the rate of growth in terms of prices for Myanmar amounted to +3.9% per year.

Source: IndexBox Platform

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