REPLANTING SOON: Dompok (centre) handing over a mock cheque in a symbolic ceremony to a recipient yesterday as Choo looks on

18/07/2011 (Borneo Post) - The government, through its replanting assistance programme under the National Key Economic Area (NKEA), is confident that Malaysia will soon be among the top crude palm oil (CPO) producers in the world.

Speaking at the ‘Pemimpin Bersama Rakyat’ programme with oil palm smallholders from Lundu, Plantation Industries and Commodities Minister Tan Sri Bernard Dompok said while the nation was at one time the world’s top producer of CPO, it had now been surpassed by Indonesia.

“Our capacity at the moment is 17.5 million tonnes per year, while Indonesia is able to produce 21 million tones.

“The size of our new planted area is now 4.85 million hectares, of which 60 per cent are owned by firms and corporations, while small-scale planters make up 40 per cent,” he said.

This, he said, reflected the important role played by smallholders, adding that the government was coming up with various initiatives to assist them.

“Eight new projects involving oil palm industries had been started or will kick start soon, which cover all aspects from planting, production and manufacturing to value-add our oil palm industry,” he said.

With the industry projected to see an increase in productivity and production in 2020, he also said income would increase from RM52.7 billion in 2009 to RM178 billion in 2020.

Speaking at a press conference later, Dompok said small scale estates of more than 25 years would be selected by the Malaysian Palm Oil Board (MPOB) to participate in the replanting programme.

“A large number of small scale planters with trees reaching 25 years old normally will opt not to continue and this is why we are giving opportunity by giving them RM7,000 per hectare for them to purchase high quality seeds, and other assistance for quality produce,” he said.

He also said MPOB had come up with several measures to assist smallholders in its oil palm plantation programme.

“The setting up of a smallholders’ cooperative by MPOB is a great step and all should join the cooperative to ensure that welfare, benefits and other assistance can be enjoyed and achieved,” he added.

At the moment, he said, more than 3,000 people were involved in small scale oil palm plantations nationwide.

Meanwhile, MPOB director Datuk Dr Choo Yuen May in her speech earlier on said MPOB had formed an integrated research and development department called ‘Tunas’ to assist smallholders.

“Tunas officers, who now number 192 nationwide and 31 in Sarawak, will provide advice to smallholders,” she said.

Besides that MPOB also conducts seminars and talks nationwide to update smallholders on the latest technology in oil palm plantation, she said. Some 20 oil palm smallholders from Lundu yesterday received their assistance.