Hi.
To be blunt, if someone highly educated uses the term 'oriental', no - it likely isn't intended pejoratively at all. If someone less educated does, then yes, it's likely an insult.
'Orient' and 'occident' are both classical terms - they simply refer to the rising (oriri) and setting (occidere) of the sun, and, by extension, to the classical East and West.
'Oriental' has definitely taken on both a more romanticised and pejorative sense, while 'occidental' has largely fallen out of use. Both are perfectly acceptable, but I wouldn't refer to a person as 'oriental' (no issues saying, for instance, 'the orient' or 'the occident'), given the connotations.
It's a shame! I think it's one of the most poetic pairings that exists in English from Latin. Africa, for what it's worth, was where the sun finally died beneath the waters. Lovely imagery.
Best.