Until now, Malaysia has only been allowed to ship frozen whole durians and durian products to China.
The Malaysia International Durian Industry Development Association (MIDIDA) and the Sabah Durian and Tropical Fruit Planters Association (Masda) said exporting to China is unlikely to be at the expense of the local market because only certain varieties are included on the export list.
“Supply will meet the demands of the local market because only a few types of durians – such as Musang King and Black Thorn – can be exported, while Malaysians have many other varieties to choose from,” MIDIDA secretary-general Edwyn Chiang told FMT.
Chiang and Masda chairman Duane Evans said the new agreement will enhance Malaysia’s competitiveness in the global durian market, currently dominated by Thailand.
“Malaysia’s Musang King is widely regarded as the best variety of all, followed by Jin Zhen Tou and Thailand’s Kan Yao. Others might see Malaysia as a rival but we might not see them as such,” said Chiang.
According to a HSBC report, China accounted for 91% of the global demand for durian between 2021 to 2022.
Chiang, the owner of a 10-acre durian farm in Raub, Pahang, said only about 10% of his harvest is exported overseas, as export-grade durians from his farms are generally limited in quantity compared to smaller-sized B- and C-grade fruit.
He sells his grade-A durians for between RM55 and RM66 per kg to vendors, while grade-B and C durians start at RM20 per kg.
Chiang does not believe there will be a drastic increase in the price of fresh durians locally in the near future. However, he expects prices to fluctuate by 10-15% depending on supply.
According to the Malaysian Investment Development Authority, Malaysia exported more than 455,000 tonnes of durians in 2022 valued at US$259 million (RM1.2 billion). The figure is expected to reach almost 506,000 tonnes by 2025.
On June 19, Chinese premier Li Qiang and Prime Minister Anwar Ibrahim witnessed the signing of several bilateral deals, including one concerning the export of fresh durians from Malaysia to China.
Deputy agriculture and food security minister Arthur Joseph Kurup said Malaysia is expected to start exporting fresh durians to China either in September or October this year, after the fruit passes biosafety tests there.
Clear guidelines to ensure freshness
Evans, who has a 45-acre durian and avocado farm in Keningau, Sabah, said Malaysia’s success in the form of increased demand depends entirely on its first few shipments.
“The fresh durians will be transported via air freight, which can be costly. We shall see if Chinese consumers find the price and quality of the fruit acceptable,” he said.
To ensure smooth implementation of the new agreement, Evans said exporters must work with the agriculture department and customs department to establish clear guidelines and standards for packaging, transport and storage.
“The government can support farmers and industry players by promoting research and development for new skills and technologies, which can help in facilitating the whole process from harvesting durians to distributing them to markets in China,” he said.
Evans added that there is also a need to set up a new supply chain methodology that involves working with foreign buyers with an emphasis on knowledge transfer.
On the other hand, Chiang said he is confident that the new agreement will come into effect without a hitch as Malaysia has been exporting fresh durians to Hong Kong and Macau for years.