from several European countries has dropped following an anti-palm oil campaign by environmental groups.

But Malaysian Plantation Industries and Commodities (MPIC) Minister Datuk Peter Chin says it is not a widespread problem in Europe, despite France reducing exports from 10,557 to 5073 tonnes. Portugal also recorded a 50 per cent drop.

Chin says overall exports to the European Union increased from 2.27 million tonnes worth RM $3.24 billion in 2005 to 2.58 million tonnes totalling RM $3.77 billion last year.

The current price for palm oil is RM $2,739 per metric tonne.

Chin made the comments following recent allegations by environmental groups in Europe and the US that oil palm cultivation in Malaysia and Indonesia had led to a list of ills such as deforestation, climate change and a depleted orang-utan population.

"Many consumers are against deforestation and when they hear of palm oil cultivation causing this and deaths of orang-utan, they decide they do not want palm oil," says Chin.