Malaysian palm oil production has surged in recent decades and the palm oil industry has been transformed to become Malaysia’s key socioeconomic driver. Plans are underway to ensure palm oil continues to be a major growth engine and its production remains sustainable in the future. While undergoing the process of transformation, the industry faces such major issues as labour and land availability that can hinder the sustainability of production growth. This article highlights the continuous efforts made to sustain production growth in Malaysia in the future, focusing on increasing land productivity, replanting, promoting mechanisation and upgrading labour skills. In addition, the article also forecasts long-term palm oil production until 2020, the year targeted for the transformation of Malaysia into a high income economy.
Keywords: palm oil, sustainable production, production growth, production