Palm oil industry registers higher returns

KUCHING: Sarawak’s revenue from the palm oil industry as of August this year has increased by 13 per cent compared to last year.

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg said Sarawak has exported 3.13 million tonnes of palm oil and palm-based products, with export values exceeding RM11.02 billion compared to RM9.78 billion in 2023.

As such, he stressed that major industry players need to invest in research and development (R&D) to improve yields and add value to the palm oil industry’s revenue.

“If we continue using traditional methods, the yield will likely remain stagnant. What we need is to adopt technology for better plantation maintenance. Additionally, we should establish a circular economy policy.

“This means that we must manage waste in a way that can add value to the income of those in the palm oil industry. Otherwise, we are merely producing palm fruits and palm oil.

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg visiting the exhibitions. Photo by Ramidi Subari

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg (centre) and other dignitaries witnessin the exchange of MoU documents between MPOB reepresented by its Director General Datuk Dr. Ahmad Parveez Ghulam Kadir (second left) and SALCRA represented by the Acting General Manager Sikin Sento (third right). Photo by Ramidi Subari

“The rest becomes waste or does not contribute value to the palm oil industry,” he said.

He said this when officiating at the Palm Oil Technology Transfer Programme (TOT) at the Construction Industry Development Board (CIDB) here Monday (Oct 14).

On a related note, Abang Johari said he has asked Food Industry, Commodities, and Regional Development Minister Datuk Seri Stephen Rundi Utom and other stakeholders in the palm oil industry to conduct a long-term study, taking into account expert opinions.

This, he said, includes using palm oil waste for energy generation, as fertilisers, animal feedstock, and other recycling processes for palm oil residues.

“I have shared this with the industry players; conduct in-depth research, and if we use technology, we can further develop the product. This will definitely increase your income,” he added.

In efforts to adopt new technology, Abang Johari stressed that education is the key to discovering new technologies, which can then boost potential.

Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg (right) sits on the Agroporter vehicle dhile visiting the exhibition. Also seen from left are Datuk Martin Ben, Datuk Dr Abdul Rahman Ismail, Datuk Seri Stephen Rundi and others. Photo by Ramidi Subari

“That is why the Sarawak government, to support the workforce, will offer free tertiary education to all Sarawakians starting in 2026.

“Hopefully, this will add value to the palm oil industry, and Malaysia will not only produce palm fruits and palm oil but also palm-based products.

“Let’s hope we succeed in leveraging technology,” he said.