PALM NEWS MALAYSIAN PALM OIL BOARD Wednesday, 22 Jul 2026

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Palm oil's future hinges on innovation: Noraini Ahmad
calendar01-07-2026 | linkNew Straits Times | Share This Post:

30/06/2026 (New Straits Times), Bangi - Malaysia's oil palm industry can no longer rely solely on commodity production and must increasingly be driven by technology, innovation and the commercialisation of high-value products.

 

Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad said the industry's long-term growth lies in its ability to develop technologies, produce higher value products and accelerate the commercialisation of homegrown innovations capable of competing globally.

 

"The future of the oil palm industry no longer relies solely on commodity production," she said at the Malaysian Palm Oil Board (MPOB) Transfer of Technology (TOT) Programme 2026 here today.

 

Among the technologies introduced was SawitSCAN, an artificial intelligence (AI) and imaging based system that automatically identifies the ripeness of fresh fruit bunches quickly and accurately.

 

Noraini said the technology could reduce reliance on subjective manual inspections, speed up fruit grading, improve operational efficiency at palm oil mills and enhance the productivity and competitiveness of Malaysia's oil palm industry.

 

The event also marked another milestone for the industry with MPOB launching nine new technologies aimed at accelerating commercialisation and creating greater value across the palm oil supply chain.

 

The board said the new technologies reflect the industry's shift beyond traditional edible oil production, with palm oil increasingly being developed as a feedstock for future food products, nutraceuticals, high value oleochemicals and data centre cooling technologies.

 

The innovations are expected to strengthen Malaysia's position as a global leader in palm oil innovation while supporting the industry's transition towards higher value, technology driven applications.

 

Meanwhile, the launch of MPOB F7, a plant polymer-coated controlled-release fertiliser, marks a step towards more sustainable fertiliser management by reducing nutrient loss, improving fertiliser use efficiency and lowering environmental impact.

 

MPOB said it remains focused on addressing the evolving needs of the palm oil industry in line with the sector's sustainability agenda.

 

MPOB F7 has been commercialised by Smart Fert Sdn Bhd.

 

In the food and health sector, MPOB introduced three new technologies: a palm-based meat analogue, palm dietary fibre and a technology to enhance the absorption of vitamin E tocotrienols into the human body.

 

The technologies are aimed at meeting growing demand for functional foods, alternative nutrition and health products.

 

MPOB also launched Sawit EcoTherm, a palm-based non-conductive coolant designed as an alternative for cooling systems in high-performance infrastructure such as data centres.

It said the technology could improve energy efficiency and reduce the high water consumption associated with conventional data centre cooling systems.

 

TOT MPOB 2026 also showcased several strategic innovations developed through MPOB's research and development (R&D).

 

This includes a palm-based rubber processing oil as an alternative for the rubber industry, a high-viscosity lubricant base oil for industrial applications and a large-scale bio-based mono propylene glycol (MPG) production technology using renewable feedstock.

 

For plant protection, MPOB said it is developing standard planting materials for its Ganoderma disease resistance screening programme to accelerate breeding efforts for more disease-resistant oil palm varieties, improve productivity and reduce losses caused by basal stem rot disease.

 

MPOB chairman Datuk Mohamad Helmy Othman Basha said the success of a technology should be measured not by the number of patents registered but by its adoption by industry and its contribution to the economy.

 

"MPOB does not merely produce innovations in the laboratory.

 

"Our responsibility is to ensure that every technology is successfully transferred to the industry, commercialised and ultimately benefits the people, entrepreneurs, investors and strengthens the competitiveness of the Malaysian oil palm industry on the world stage," he said.

 

He said every technology introduced under the TOT MPOB programme has undergone research, scientific validation and economic assessment to ensure it meets industry needs and has commercial potential.

 

To date, MPOB has developed 364 technologies, of which 241 have been commercialised.

He added that MPOB is strengthening its commercialisation ecosystem through a new Intellectual Property Policy recently approved by the Plantation and Commodities Ministry to protect locally developed innovations and strengthen industry confidence in investing in palm oil technologies.

 

MPOB said it will continue strengthening its role in palm oil research and innovation, with the aim of supporting developments in green technology, the digital economy and other high-value industries.

 

The TOT MPOB 2026 programme brought together more than 500 participants, including industry players, entrepreneurs, researchers, investors, and micro, small and medium enterprises (MSMEs).

 

The programme also featured business matching sessions, technology demonstrations, palm-based product tasting sessions and briefings on commercialisation funding opportunities by the Science, Technology and Innovation Ministry and the Malaysian Technology Development Corp.

 

https://www.nst.com.my/business/economy/2026/06/1476761/palm-oils-future-hinges-innovation-noraini-ahmad