Among the crops that are now starting to get attention in the export market is Malaysia’s fruit king, durian especially Musang King, which is also known as Mao Shan Wang or D197.
Durian dubbed the King of Fruits, can be considered popular among durian fans and is now gaining attention as a new source of wealth.
Global Durian Fruit Market Outlook
Based on the statistics contained in the Ministry of Agriculture and Agro-based Industry Roadmap document 2019-2020, the area of durian crops recorded in the country in 2017 was 72,000 hectares (ha) with a production of 210,000 metric tons.
The total export of durian in 2015 was 19,892 metric tonnes worth RM65 million and the total export value in 2016 increased by six percent to RM68 million.
Despite its high demand, low supply levels means that its availability outside Malaysia is severely limited. Domestically, Malaysia consumes 95% of its total annual production. Current retail prices outside of Malaysia range between 20-120 USD/KG.
Global Durian Fruit Market Outlook
Based on the statistics contained in the Ministry of Agriculture and Agro-based Industry Roadmap document 2019-2020, the area of durian crops recorded in the country in 2017 was 72,000 hectares (ha) with a production of 210,000 metric tons.
The total export of durian in 2015 was 19,892 metric tonnes worth RM65 million and the total export value in 2016 increased by six percent to RM68 million.
Musang King Durian Prices
Export price points differ due to a variety of market forces. Pricing for any market requires an understanding of the relative costs, demand, and current competition of that market. Developing export markets can involve a range of costs that do not apply to domestic sales. These include costs for exporting such as freezing, packaging, shipping, labeling, compliance standards, and financing.
Due to its uniqueness, direct competition to Malaysia’s Musang King Durian export market is nonexistent. Only Thailand which offers a mass-produced and less expensive product can come close to be called competition. Price points and profit margins of Thailand’s Monthong Durian vs. Malaysia’s Musang King Durian is vastly different with Musang King having
Global Durian Importers
- China
- Vietnam
- Hong Kong
- Singapore
- Others
- Thailand
- Malaysia
- Others
Global Durian Exporters
Reason to invest Durian Plantation in Malaysia
Durian Attracts Attention from China
According to China’s search data, the search popularity trend of Musang King has risen significantly in recent years and has remained at a high level, better than Golden Pillow.
In 2017, Malaysia held a 3-day Musang King Durian Festival in Nanning, China, attracting more than 160,000 tourists to line up to taste the durian. The event was very successful, and it also proved the marketability and demand of Musang King.
High Selling Price in China
The huge demand in the Chinese market has increased the value of Malaysian durian.
The price of Musang King has soared three times in the past 5 years.
The purchase price of Musang King’s orchard has also increased to 40-50 MYR/kg, and the retail price in China is as high as 600-800 yuan, which is several times the retail price in Malaysia.
Official Approval to import Malaysian Durian
On May 30, 2019, the General Administration of Customs of China issued the “Announcement on Allowing the Import of Malaysian Frozen Durian”, and Malaysian frozen durian with shells was officially allowed to enter China.
As China’s wealthy population grows, the new arrangement will rewrite the entire durian market.
Malaysian Musang King will replace part of the demand for Thai Golden Pillows in the future, and the demand for durian in the entire Chinese market will continue to grow and is unstoppable.
Huge by-product market
In addition to the continuous growth in demand for fresh durians, the demand for durian by-products is also very strong. Major global food manufacturers such as Nestlé, F&N, McDonald’s and Pizza Hut are all working hard to develop foods related to durian.
Catering products mainly cover 3 market areas, including
(1) Durian desserts, such as ice cream and cakes;
(2) Snacks, such as French fries and candies and
(3) Beverages, such as coffee and tea.
The value of by-products is higher than that of fresh durian.
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