MARKET DEVELOPMENT
Malaysia To Renew Push To Set Up Oil Palm Plantations In The Philippines
Malaysia To Renew Push To Set Up Oil Palm Plantations In The Philippines
07/08/2015 (Bernama) - Malaysia will renew the push to set up oil palm plantations in the Philippines after the first attempt over 20 years ago resulted in a dead end, said Malaysian Palm Oil Council.
Its Chairman, Datuk Lee Yeow Chor, said the Philippines could serve as a destination for Malaysian planters to expand their oil palm plantations due to the country's similar climate to Malaysia's and its fertile land.
He said to realise this, however, issues of ergonomics, political stability, security and land ownership must be assessed.
"The typical size of an oil palm plantation to reach the economic scale similar to Malaysia is 2,000 hectares (ha) with a cyclical period of between 20 and 25 years
"The growth of oil palm plantations in the Philippines would benefit both countries as it will create employment in the island country and expand Malaysia's exposure in South-East Asia," he told reporters at the Palm Oil Trade Fair and Seminar Philippines 2015 here today.
Lee said the Philippines offered vast potentials to the palm oil market as it has a low per capita edible oil consumption.
"Also, the palm oil's nutritious content and versatility offers added value to the commodity," he said.
He said the joint-ventures between Malaysian and local Philippines companies would lead to the training of local planters and technology transfers thus giving further benefits to the Philippines.
Meanwhile, on the El Nino phenomenon, Lee said, the unusual warm and dry weather was expected to last until year-end.
"The Australian Weather Bureau expects the El Nino to be quite strong this year since 1997 but said it is hard to predict further outcome as the phenomenon had just begun," he said.
Last year, Malaysia had a total planted area of 5.39 million ha, producing 19.67 million tonnes of palm oil. It exported 17.31 million tonnes, and generated USD13.09 billion in export earnings.
Its Chairman, Datuk Lee Yeow Chor, said the Philippines could serve as a destination for Malaysian planters to expand their oil palm plantations due to the country's similar climate to Malaysia's and its fertile land.
He said to realise this, however, issues of ergonomics, political stability, security and land ownership must be assessed.
"The typical size of an oil palm plantation to reach the economic scale similar to Malaysia is 2,000 hectares (ha) with a cyclical period of between 20 and 25 years
"The growth of oil palm plantations in the Philippines would benefit both countries as it will create employment in the island country and expand Malaysia's exposure in South-East Asia," he told reporters at the Palm Oil Trade Fair and Seminar Philippines 2015 here today.
Lee said the Philippines offered vast potentials to the palm oil market as it has a low per capita edible oil consumption.
"Also, the palm oil's nutritious content and versatility offers added value to the commodity," he said.
He said the joint-ventures between Malaysian and local Philippines companies would lead to the training of local planters and technology transfers thus giving further benefits to the Philippines.
Meanwhile, on the El Nino phenomenon, Lee said, the unusual warm and dry weather was expected to last until year-end.
"The Australian Weather Bureau expects the El Nino to be quite strong this year since 1997 but said it is hard to predict further outcome as the phenomenon had just begun," he said.
Last year, Malaysia had a total planted area of 5.39 million ha, producing 19.67 million tonnes of palm oil. It exported 17.31 million tonnes, and generated USD13.09 billion in export earnings.