Vol. 15 (1) March 2015 – OPIEJ

Competitiveness of the Oil Palm Industry in Colombia

mpob_admin — Wed, 29 Aug 2018 00:06:53 +0000

This article is aimed at discussing the competitiveness of the oil palm industry in Colombia in comparison with Malaysia’s own industry in terms of production, trade, consumption and infrastructure. Prospects of investment in the industry in Colombia are also discussed. For the purpose of analysing the information gathered, a SWOT analysis was used to evaluate the strengths, weaknesses, opportunities and threats of the Colombia’s oil palm industry. Colombia was chosen for this article based on the fact that there is currently a lack of information and of a database on this country with regard to her oil palm industry. The information in this article was collected primarily from various secondary sources. Not all of this information was of the latest year because of the difficulty in sourcing the most up-to-date information. It is hoped that this article will assist Malaysian oil palm industry players in having a better understanding of the developments pertaining to the oil palm industry in Colombia as well as gauging the challenges, if any, posed by this country and the prospect for investments.

Keywords: oil palm, competitiveness, trade, Colombia

Measuring Impact of Exports of Palm Oil Biodiesel on Direct and Indirect Land Use Changes in Malaysia

mpob_admin — Tue, 28 Aug 2018 15:01:07 +0000

Palm oil biodiesel is often regarded as a renewable energy source with the potential to lower emissions of carbon dioxide (CO2). However, exports of this product may face non-tariff trade barriers that are directed towards its role in bringing undesirable impacts to the environment. This article examines the impact of exports of palm oil biodiesel for the period 2010-2012 on direct and indirect land use changes in Malaysia. Data from a national economic survey alongside export data of palm oil biodiesel, crude palm oil production and land use for oil palm, rubber, cocoa, paddy and forests are utilised to calculate the extent of direct and indirect land use changes. In 2010, the effect of direct land use changes is recorded to be equal to -0.000156%, increasing to -0.000008% in 2012. For indirect land use changes, the highest effect recorded is for land planted with cocoa which is equal to 0.000292% in 2010, decreasing to 0.000016% in 2012. These results indicate that exports only contribute in a small way towards direct and indirect land use changes.

Keywords: palm oil biodiesel, land use changes, input-output, exports

The Effects of Establishing Sustainable Oil Palm Growers’ Cooperatives on the Incomes of Oil Palm Smallholders

mpob_admin — Tue, 28 Aug 2018 14:57:59 +0000

This article attempts to study the impact of establishing Sustainable Oil Palm Growers Cooperatives (KPSM) on the incomes of oil palm smallholders in Malaysia. In the study, data on income were collected from members as well as non-members of KPSM in Saratok, Sarawak. The study found that the nett average fresh fruit bunch (FFB) price (after deducting transportation cost) obtained by KPSM Saratok members was higher than for non-members. For example, in July 2012, the average nett price obtained by KPSM members was RM 524.80/t compared with RM 414.60/t obtained by non-members. The price difference was RM 110.20. During this period, from July 2012 until April 2014, the average nett price obtained by members of KPSM Saratok was RM 410.80/t while non-members received a price of RM 345.50/t. The average price difference in that period was RM 65.30/t. Greater efforts have to be made to attract more independent smallholders to join the cooperatives as the cooperative is an institution that can help increase productivity and income of smallholders.

Keywords: cooperatives, oil palm smallholders, income, quality