RESEARCH & DEVELOPMENT – OPIEJ

Palm Oil: Nature’s Gift to Malaysia and Malaysia’s Gift to the World

mpob_admin — Tue, 28 Aug 2018 06:33:34 +0000

For Malaysia, oil palm is the golden crop that has helped to change the scenario of the Malaysia’s agriculture and the Malaysian economy. In 2007 at 4.17 million hectares, the oil palm performance is compared over the last 90 years from 1917 to 2007 and some projections are made over the next 100 years to 2107. The various phases undergone by the oil palm industry from the pioneering work with the determination to nurture the plant into a crop and to create a home for it in Malaysia, have been marked with several important milestones such as diversification from the over dependence on rubber in the 1950s and 1960s, strong support from well thought-out policies involving use of palm oil as food, fuel, fibre and feed in the 1970s and 1980s, through R&D move into processing and value-adding activities to improve the health and food safety aspects and finally in the 1990s and 2000s to tackle the environmental and sustainability development. The broadening of the scope and horizon for export of oil palm and its products into 11 areas of food, oleochemicals, energy, biomass, biotechnologically improved products, nutraceutical, pharmaceutical, farm machinery, research and advisory services, processing, livestock integration and feed production will strengthen the competitiveness of the Malaysian oil palm products that will take centre-stage in international oils and fats businesses. In so doing, the impact of such massive development of the oil palm has helped uplift the rural poverty, enhance social and economic life, and yet protect the very environmental and ecological bases on which the oil palm thrives. Truly the oil palm is a crop that nature gives to Malaysia and now it has evolved into Malaysia’s gift, thanks to continuous R&D with many innovations, to share the new discoveries on the uses of palm oil and its products with the whole world. In the future, the Malaysian oil palm industry will remain a major reliable supplier of vegetable oil for both food and non-food applications. It must be mentioned that the projections made here after deliberation are the views what the MPOB team members have wished for the industry. For a forecast of a hundred years, the reality will be dictated by events and the rate of progress of R&D.

Technological Development and New Growth Areas of the Oil Palm Industry

mpob_admin — Tue, 28 Aug 2018 05:14:23 +0000

Technological development has transformed the Malaysian palm oil industry into a strategic and well planned industry that responds to global challenges. In particular, genetic knowledge since as early as 1912 first led the phenomenal growth of the industry through the planting of tenera instead of dura palms. This was complemented by the government allocating land to the poor and landless to plant more oil palm, in great part causing the area to increase from 54 000 ha in 1960 to 1.02 million hectares in 1980 and 2.03 million hectares in 1990. By 2006, there were 4.16 million hectares of oil palm, constituting nearly two-thirds of the national agricultural area (Table 1). Malaysia continues to be the world’s largest palm oil producer with a production of 15.90 million tonnes in 2006. The success of the crop is largely market driven with good longterm price prospects for palm oil making oil palm more attractive than most other crops. Palm oil contributes more than one-third of the national agricultural GDP, generating RM 31.81 billion in export earnings in 2006, making it one of the pillars of Malaysia’s economy. At present, the industry employs more than 1.5 million people in the core and related sectors. This paper provides an overview of the technological developments which have propelled the industry into a strategic and important sector and which will shape the future of the oil palm agro industry.

Palm Oil: The Driving Force of World Oils and Fats Economy

mpob_admin — Tue, 28 Aug 2018 01:35:17 +0000

Palm oil accounts for 21% and 47% of the global oil and fats production and trade respectively. Both Malaysia and Indonesia together are the world’s largest producers and exporters of palm oil with 84% and 90% share of world palm oil production and export, respectively. The paper outlines the increasingly dominant role that palm oil has played in the world oils and fats supply and demand equation during the past 40 years. The ascent of palm oil as a powerhouse in the global oils and fats market has been achieved by leveraging upon the techno-economic advantages of palm oil vis-à-vis competing oils as well as positive developments arising from consumer concerns on health, environment and food security. In efforts to maintain continued market growth, the future direction of the industry relating to improving competitiveness, widening the uses of palm oil, eliminating trade barriers and exploring new innovative marketing approaches will be discussed. These positive developments augur well for palm oil in its role as the driving force of the world oils and fats economy.

Global Oils and Fats Business :Challenges in the New Millennium

mpob_admin — Mon, 27 Aug 2018 00:40:52 +0000

This paper outlines the world oils and fats supply and demand situation focusing on production and disappearance, which is forecast to grow by 2.3% per annum respectively by the year 2020. Amidst this scenario of continued growth, the oils and fats industry is expected to encounter various challenges, namely resource constraints, lower productivity (yield), rising cost of production, impediments to market access arising from agricultural and export subsidies. In addition, in the effort to maintain continued market growth and increased market share, the oils and fats industry would have to intensify new product development and venture vigorously into more value-added products. Apart from this, the growing health concerns of consumers and how they have dictated food legislation/regulations will also be elucidated. Issues of concern in this category include the formation of trans-fatty acids arising from hydrogenation. Increasing pressure exerted by non-governmental organizations (third sector) will also be highlighted with respect to food standard formulations and environmental protection based on ecological balance. Finally, the paper advocates the need for closer co-operation amongst both producers and exporters of oils and fats so that benefits are mutually reaped