PALM NEWS MALAYSIAN PALM OIL BOARD Friday, 10 Apr 2026

Total Views: 231
MARKET DEVELOPMENT
Build the nation’s biomass industry
calendar20-01-2020 | linkThe Star Online | Share This Post:

20.01.2020 (The Star Online) - GLOBAL interest in monetising biological resources, or biomass, has surged in recent years. Many countries are looking to this renewable resource as a way to help reduce global warming, thereby mitigating the climate crisis. As the world strives for green growth, as defined by the United Nation’s Sustainable Development Goals (these are 17 global goals designed to be a “blueprint to achieve a better and more sustainable future for all”), biomass has suddenly become a valuable resource.

Contrary to popular perception, biomass is not only used for energy generation. It is increasingly being investigated for many other applications, including the use of biomass to produce industrial chemicals as well as advanced composite materials now in high demand by many industries. Many countries have invested in biomass R&D, hoping to build a vibrant industry from it.

Malaysia is rich in biomass. Much of it, however, remains untapped. The oil palm, rubber and forest crops are some of the major producers of biomass. The others include rice, fish, algae and seaweed, just to name a few. Of course, palm oil, rubber latex and timber are already commercialised in a big way. But there are residues from the biomass that have yet to be exploited for economic gain. Such residues can also end up as a menace to the environment. How can we as a nation derive tangible value from such biological resources while also averting its negative environmental impact?

While much R&D has been done over the years on the three major crops, what has yet to be fully monetised are their residual biomass such as empty fruit bunches (EFBs) from oil palm, wood chips from the timber industry, and other biological wastes.

Oil palm EFBs have attracted the most R&D, probably because they are available in relative abundance. In the case of the oil palm, the oil is apparently only about 10% of the total biomass generated by the crop. The other 90% has yet to be maximised in terms of value. If it can be effectively monetised, it would bring cheer to many in the industry.

For one thing, smallholders could earn extra income while the downstream industries using the biomass will not only add to the nation’s GDP but also create jobs for the economy. And this is just from the biomass from the oil palm. Imagine if all the other potential biomass resources are also developed. It promises a new biomass-based industry for the country.

In order to make it happen, we need a proper governance structure. Funding and R&D on biomass should be properly coordinated. At the moment it is not. Funding should not be 100% from the government. The involvement of the private sector is crucial for success.

If the nation is serious about tapping the economic potential that biomass resources offer, there must be better coordination and planning. Some biomass activists have grouped together to form a network to push the biomass agenda. This is a healthy start. It is through this network that I came to realise the real possibilities that biomass presents.

It may be time for the government to consider formalising an entity, not unlike the Malaysian Palm Oil Board, to bring more vigour to development of untapped biomass potential. Another option is to create an alliance of the palm oil, rubber and timber boards to form the Malaysian Biomass Develop-ment Board. All three boards have the talent to support the commercialisation of biomass. It makes a lot of sense to share existing talent.

Furthermore, the three industries are almost reaching their limits in terms of business expansion. They could be more productively utilised for biomass R&D. Collaboration with universities and other relevant institutes is a must.

But most importantly, the participation of the private business sector is key to the success of the whole venture. We have to act fast if we are to move ahead of competition coming from our neighbours.

 

PROF DATUK DR AHMAD IBRAHIM

Fellow, Academy of Sciences, Malaysia