MARKET DEVELOPMENT
Government To Intensify Efforts To Meet RM178 Billion Contribution Target From Palm Oil
Government To Intensify Efforts To Meet RM178 Billion Contribution Target From Palm Oil
20/01/2015 (Bernama) - The government will intensify its efforts to realise the Gross National Income Contribution for the palm oil industry of RM178 billion by 2020.
Plantation Industries and Commodities Minister Datuk Amar Douglas Uggah Embas said the ministry is reviewing the initiatives under the Entry Point Projects while the government would continue to introduce measures to assist the oil palm upstream and downstream sectors.
"A lab has been scheduled from Jan 26, 2015 to Feb 13, 2015 to review the progress and identify new EPPs and it is hoped that some new and bold initiatives will be generated from this lab," he said in his speech Monday.
The speech was read by the ministry's secretary-general Datuk Hammit Singh at the Palm Oil Economic Review and Outlook Seminar 2015.
The one-day seminar, themed "Palm Oil: Continuing to Deliver Export Growth Amidst Challenges" was organised by the Malaysian Palm Oil Board.
Uggah said the implementation of the Malaysian Sustainable Palm Oil Scheme this year would help to portray the industry in a very positive image and enhance market access for palm oil in the importing countries that require certification.
In 2014, crude palm oil (CPO) production climbed by 2.3 per cent to 19.6 million tonnes against 19.2 million tonnes in the previous year.
The higher production in 2014 was due to increase in Oil Extraction Rate by 1.8 per cent to 20.62 per cent and increase in new matured area, especially in Sarawak.
"CPO production for 2015 is expected to continue this upward momentum," said Uggah.
However, regular build-up of stock, particularly towards the last quarter of 2014, would continue to put pressure on palm oil prices, he added.
Uggah said the continuous expansion of other palm oil producing countries has excerbated the supply situation.
"Coupled with the good harvest of competing oil seeds and downtrend of crude oil prices, these challenges will have to be met in 2015," he added.
Uggah said he expects the B7 programme to utilise 576,000 tonnes of CPO and contribute towards higher domestic consumption of the tropical oil, reduce stock build-up and strengthen domestic prices.
Plantation Industries and Commodities Minister Datuk Amar Douglas Uggah Embas said the ministry is reviewing the initiatives under the Entry Point Projects while the government would continue to introduce measures to assist the oil palm upstream and downstream sectors.
"A lab has been scheduled from Jan 26, 2015 to Feb 13, 2015 to review the progress and identify new EPPs and it is hoped that some new and bold initiatives will be generated from this lab," he said in his speech Monday.
The speech was read by the ministry's secretary-general Datuk Hammit Singh at the Palm Oil Economic Review and Outlook Seminar 2015.
The one-day seminar, themed "Palm Oil: Continuing to Deliver Export Growth Amidst Challenges" was organised by the Malaysian Palm Oil Board.
Uggah said the implementation of the Malaysian Sustainable Palm Oil Scheme this year would help to portray the industry in a very positive image and enhance market access for palm oil in the importing countries that require certification.
In 2014, crude palm oil (CPO) production climbed by 2.3 per cent to 19.6 million tonnes against 19.2 million tonnes in the previous year.
The higher production in 2014 was due to increase in Oil Extraction Rate by 1.8 per cent to 20.62 per cent and increase in new matured area, especially in Sarawak.
"CPO production for 2015 is expected to continue this upward momentum," said Uggah.
However, regular build-up of stock, particularly towards the last quarter of 2014, would continue to put pressure on palm oil prices, he added.
Uggah said the continuous expansion of other palm oil producing countries has excerbated the supply situation.
"Coupled with the good harvest of competing oil seeds and downtrend of crude oil prices, these challenges will have to be met in 2015," he added.
Uggah said he expects the B7 programme to utilise 576,000 tonnes of CPO and contribute towards higher domestic consumption of the tropical oil, reduce stock build-up and strengthen domestic prices.