https://opiej.mpob.gov.my Oil Palm Industry Economic Journal Wed, 31 Mar 2021 08:16:47 +0000 en-US hourly 1 https://wordpress.org/?v=7.0 https://opiej.mpob.gov.my/the-impact-of-negative-perceptions-towards-palm-oil-in-the-european-union-on-the-competitiveness-of-malaysian-palm-oil-exports/ Wed, 31 Mar 2021 08:16:02 +0000 https://opiej.mpob.gov.my/?p=1555 Read more]]> The anti-palm oil campaigns by a number of European countries have been of great concern to the Malaysian palm oil industry. Such campaigns will possibly bring about a negative image of palm oil, and thus potentially affect the marketability of palm oil products in these markets. This study aimed to assess the impact of the negative perceptions towards palm oil based on environmental and health grounds on the export competitiveness of Malaysian palm oil vis-á-vis Indonesian in selected European countries as a result of the anti-palm oil campaigns. The study employed comparative trend analysis in analysing the relationships between negative perceptions and export competitiveness. The study indicated that the negative perceptions of palm oil are affecting the competitiveness of Indonesian palm oil exports more than Malaysian. Malaysian palm oil exports are more affected when the anti-palm oil campaigns are intensified.

]]> https://opiej.mpob.gov.my/survey-on-the-red-palm-olein-versus-refined-bleached-and-deodorised-rbd-palm-olein-upon-completing-dietary-intervention-preference-of-the-users-overweight-adults/ Wed, 31 Mar 2021 08:12:00 +0000 https://opiej.mpob.gov.my/?p=1551 Read more]]> A short survey was conducted to study the preference for red palm olein versus commonly used refined, bleached and deodorised (RBD) palm olein on free-living abdominally overweight working subjects after a chronic crossover dietary intervention incorporating both oils in succession. The intervention was conducted in a randomised controlled trial with crossover design at the dining hall of the Malaysian Palm Oil Board. Fifty three questionnaires were distributed to the participants who underwent chronic dietary intervention (n=53). Questionnaires assessed background of oils, consumers’ perception of health benefits and suitability of using red palm olein on a daily basis, and preferences for using red palm olein after dietary intervention. Majority of the participants, 95% used palm oil as cooking oil at home at baseline. The difference in taste was identified by 72% of them. It was found that 19% of participants felt healthy when consuming the red palm olein as compared to RBD palm olein, 9% of the participants. Majority of them or 62% stated that they would consider using red palm olein after the study. Overall, the red palm olein was well accepted by participants. As this was a single centre study, the study population may not represent the Malaysian population in terms of ethnicity and socio-demographic pattern variation.

]]> https://opiej.mpob.gov.my/factors-influencing-the-certification-process-of-malaysian-sustainable-palm-oil-mspo-during-the-preparation-phase-for-independent-smallholders-in-malaysia/ Wed, 31 Mar 2021 08:08:28 +0000 https://opiej.mpob.gov.my/?p=1548 Read more]]> The Malaysian Sustainable Palm Oil (MSPO) certification scheme serves as one of the platforms to address the concerns over issues related to environmental, social and economic impacts of the palm oil industry in Malaysia. Hence, MSPO certification has been mandatory for all palm oil operators, including smallholders, since 1 January 2020. In Malaysia, there are two types of smallholders, namely organised and independent. This study focussed on the independent smallholders. The purpose of the study is to investigate factors influencing the MSPO certification process during the preparation phase (MSPO pre-audit activities) for independent smallholders in Malaysia. The long duration of the MSPO certification process for independent smallholders caused difficulty for them to supply their fresh fruit bunches (FFB) to the palm oil mills. The results show several factors that influenced the certification process during the MSPO pre-audit activities, such as incomplete information and technical errors during application for MSPO certification, illiteracy rate and level of education of the smallholder, accessibility of the holding, and the lack of competent attending officers. The results obtained also show that the Good Agricultural Practices (GAP) advisory visit required a long time and was only completed within 37 days (29%), while issuance of the internal audit report took a much shorter time and could be completed within 4 days (3%). Based on this study, there appears to be a need to revise the existing guidelines in order to speed up the MSPO certification process for independent smallholders in Malaysia, and to support our commitment towards sustainability of the palm oil industry.

]]> https://opiej.mpob.gov.my/moving-forward-with-mandatory-mspo-certification-standards/ Wed, 31 Mar 2021 08:00:49 +0000 https://opiej.mpob.gov.my/?p=1542 Read more]]> The Malaysian Sustainable Palm Oil (MSPO) Certification Scheme was developed as the national scheme in Malaysia for oil palm plantations, independent and organised smallholdings, and palm oil processing facilities. The Malaysian Palm Oil Certification Council (MPOCC) develops, operates and manages the MSPO Certification Scheme. The MSPO Standards used under this scheme cover a range of principles and criteria (P and C) that covers the environmental, social, and economic aspects in oil palm plantation management, palm oil milling and supply chain traceability systems. The MSPO Standards include certification for independent smallholders, organised smallholders, plantations, and all processing facilities under the scheme. In 2017, an official announcement was made by the Malaysian government that the implementation of the MSPO Scheme will be made mandatory by the end of December 2019. This shows Malaysia’s commitment to and policy support for nationwide implementation of a credible oil palm certification system operated through accredited third-party certification bodies (CBs) when auditing of all field practices and milling operations is conducted against set auditable standards. This article reviews the development of the MSPO Certification Scheme, its institutional set-up, strengthening of the systems and standards through the review process, incentives to encourage adoption and tax relief, and amendments to the Malaysian Palm Oil Board (MPOB)’s regulations for its implementation as a mandatory certification scheme. The paper also discusses some of the issues and challenges in implementing mandatory sustainability standards.

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