Archived News

KUMPULAN Guthrie Bhd has engaged lawyers from three firms, including oneeach from Indonesia and the US, to assist in its defence against a suit byPT Adhiyasa Saranamas (PTAS) for allegedly breach of contract over salesof palm oil estates.

KUALA LUMPUR, Aug 19 (Bernama) -- The Malaysian Palm Oil Board hasassisted in many technological breakthroughs towards the commercialisationof palm-based products and industry players should take advantage of them,says its director-general, Datuk Dr Yusof Basiron.

Dewan Rakyat - Palm oil producers should not be competing among themselvesas it would lead to a drop in its price, says Primary Industries MinisterDatuk Seri Dr Lim Keng Yaik.He said the producers should be competing with other types of oilproducers, such as sunflower seed oil and rapeseed oil.Dr Lim was replying to Senator Datuk Abdul Aziz Abdul Rahman who askedwhether it was a paradox for the Government to encourage Malaysianplantation companies to invest in oil palm plantations in Indonesia.Citing the example of rubber tree plantation, he said Malaysia did nothave a pact with Indonesia and Thailand, which also produced rubber, untilthe price of the commodity had dropped."This had affected small estate owners as they became high costsproducers."The strategy of encouraging palm oil producers to invest abroad is tomaintain the price of the commodity."Dr Lim also told Senator Zakaria Arshad that the subsidy given to smallestate holders under the Felda and Felcra schemes was not given to othersmall estate holders.Tuesday, August 14, 2001The Star

DANISCO Cultor (M) Sdn Bhd, which produces emulsifiers for the foodindustry, is expanding its plant in the Prai industrial area which has nowreached its maximum production capacity.According to its general manager (South-East Asia, Australia and NewZealand) David Alan Last, the expansion programme is to meet the company'santicipated sales growth in the region.He said that the company enjoyed dynamic and sustainable growth after theeconomic slowdown in 1997 and now had marketing links in 25 countries.“The expansion programme is expected to increase production capacity by25%, in line with the company’s average annual sales growth of about 15%.We want to tap the growing market and the Prai plant has also become aglobal supply point,” Last told a media briefing at the Danisco plant onTuesday.The Prai plant produces palm oil-based emulsifier, an ingredient used infood-making industry. The company was set up on a joint-venture basisbetween Danisco A/S of Denmark and Malaysian palm oil manufacturer PalmcoHoldings Bhd in 1990.However, Danisco secured a 100% equity in 1995 and turned Penang into itsregional centre for the Asia-Pacific region.Danisco A/S is a multi-national company based in Copenhagen. It operatesglobally under three main divisions, viz food ingredients, sweeteners andsugar.According to Last, Danisco has also proposed to set up a flavour sectionin the Prai plant to meet growing demand.“The flavour section will only be set up after our investments in Chinaare in full swing,” he said.Business manager (flavour) Steen Londal said the company's vision was tobe among the world's top five players in the flavour production businesswhich had vast potential.Londal said Asia Pacific had sales potential of nearly RM4.5bil annuallyand Danisco would be a major player via organic growth and acquisitions ofother firms.Danisco employs 15,000 workers in 40 countries. Its net sales for thefiscal year ended April 30 touched 23.5 billion Danish krone.Thursday, August 16, 2001The Star

AS the top global producer and supplier of more than half of the world'spalm oil, Malaysia needs to ensure that global demand for the commoditycontinues to grow.According to Malaysian Palm Oil Promotion Council (MPOPC) chief executiveofficer Datuk Haron Siraj, one of the main tasks of the council was toeducate consumers on the goodness of palm oil.“We must also inform people that mills which process palm oil do not causepollution and damage to the environment," Haron said during the Palm oiltrade awareness programme (Potap) for 25 representatives from the Africanand East European regions, held in Petaling Jaya last week.Haron said the council’s aim was to see Malaysia maintaining its existingpalm oil market and exploring new areas such as in Africa and Europe.One of the Potap participants, Foodline sales director Vladislav Remish,said his company, one of the largest food ingredients distributors inRussia, had initiated plans to deal directly with Malaysia to obtainsupplies of palm oil-based products."We have to reduce our dependence on our traditional third party palm oilsuppliers and make a strategic move to establish a direct link with theproducers," he said.Remish said that from this year onward, Foodline would increase its directpalm oil-based supply procurement from Malaysia to 70% from 30%previously. He estimated direct trade between Foodline and Malaysianproducers at US$10mil to US$15mil annually.Foodline, which trades oils and fats, beverages, meat, sauces andstarches, gets most of its palm oil-based products such as refined,bleached and deodorised (RBD) palm oil, shortening and other specialtyproducts through established European trade houses.According to Remish, many third party palm oil suppliers have added valueand increased the prices of their goods after refining these goods.He added, however, that many palm oil producing countries now have thetechnology to add value or refine crude products to the quality of thethird party trading houses.Another participant, Zambia's High Protein Foods Ltd managing directorMohamed Salim Dawoodjee, said that his country's awareness of palm oil hadbeen increasing gradually since the oil was introduced about five yearsago."Although I have been importing Malaysian palm oil and refining them intocooking oil for some time, I have not consumed palm oil until six monthsago," he said.According to Salim, the consumption of palm oil was once viewed negativelyin Zambia but the perception is changing slowly. His company, based inLusaka, refines about 1,000 tonnes of Malaysian crude palm oil a month.Salim also said the unfavourable import tariff imposed by the Zambiangovernment had placed palm oil at a disadvantage compared with otherimported vegetable oils."Although palm oil is cheaper than other vegetable oils in the worldmarket, the import tariff has reduced palm oil's price advantage inZambia," he said.Potap was organised by the MPOPC to expose the participants to Malaysianpalm oil industry and trade. During the five-day programme, theparticipants attended briefings by officials of the Primary IndustriesMinistry, the Malaysian Palm Oil Board, Malaysian Palm Oil Association,Malaysian Oleochemical Manufacturer Group and the Palm Oil RefinersAssociation of Malaysia.They also visited United Plantation Bhd's Jendarata estate in Teluk Intan,Perak, and the Felda Bulkers Sdn Bhd storage facilities at Port Klang.Monday, August 13, 2001The Star

Middle-aged men who eat too many of the fats found in margarine and somecooking oils may face a higher risk of sudden death.A diet high in polyunsaturated fats can lead to an abnormal heartbeat,which can result in sudden cardiac death, doctors warn.Their conclusions are based on a study which links instances of suddendeath to a build-up of 'Free' fatty acids in the bloodstream. Omega-6fatty acids are thought to be most to blame.These are found in margarine, foods fried in polyunsaturated vegetableoils such as sunflower and corn oil, and some processed foods.Omega-3 fatty acids, found in oily fish, tofu and rape seed oil, are morebeneficial.The researchers, based at Hospital Europeen Georges Pompidou in Paris,recorded the levels of free fatty acids in 5,250 men between 42 and 53,who were followed for an average of 22 years. Very high levels of theseacids indicated a greater than 30 per cent risk of sudden cardiac death.This is different from a heart attack, which is usually caused by severelyclogged arteries or a blood clot.Sudden cardiac arrest occurs when the heart starts beating in a chaoticrhythm that makes it unable to pump blood to the rest of the body.Death comes within minutes.Increasing omega-3 fatty acids in the diet and cutting back on omega-6 canreduce the risk of sudden death, the experts concluded.The study is published in the journal Circulation.Nutritionist Lyndel Costain said it was important to maintain the correctbalance of omega-6 and omega-3.'Polyunsaturated fats are good and we need some in our diet to stayhealthy,' she said.'But we've now gone too far the other way, and polyunsaturated fats are ina large number of processed foods.'

The run-up in palm oil prices may be showing signs of waning but traderssay the month-long bull run is far from over, noting that the immediatesupport level is RM1,200 a tonne.

THE recent improvement in crude palm oil (CPO) prices to the RM1,300 atonne level, from a 17-year low of just under RM700 in February, hasrendered the initiative to use the commodity as fuel for power generationnot only unnecessary, but also non-viable.

BULLISH export data for Malaysia's crude palm oil (CPO) failed to attractinvestors' interest in plantation counters yesterday as players were takenaback by the sharp decline in CPO prices in both spot and futures markets,analysts say.

CESS collected to support the crude palm oil (CPO) burning project,amounting to RM1.2 million, will go to the Malaysian Palm Oil Board (MPOB)to finance the ongoing research and development (R and D) of the project.

A LEGAL claim for US$25.76 million (US$1 = RM3.80) has been filed againstKumpulan Guthrie Bhd by Indonesia's P.T. Adhiyasa Saranamas which isalleging breach of contract by the Malaysian company.

IPOH - The deal on the minimum wages for rubber tappers and generalworkers in estates is expected to be sealed before year end and will beimplemented early next year.