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Better planning needed to attract millennial talent in palm oil industry
Better planning needed to attract millennial talent in palm oil industry
12.11.2021 (www.nst.com.my) - Few would deny that the palm oil industry has labour pains. The labour shortage has denied the industry of billions of ringgit in potential revenue.
It is even more painful knowing that the world price of palm oil has hit that rare level of RM5,000 per tonne. The pandemic has disrupted the supply of foreign labour to the industry.
It, therefore, came as a relief recently when the government had given the go-ahead to bring in some foreign labour.
Though experts predict the high price will only last till the first quarter of next year, many in the industry are still worried that they may not have enough workers to harvest the fruits even by then.
It is time for better planning to secure a sustained supply of workforce for the industry. Labour is important in the sustainability equation.
I recently participated as a panellist at a forum to discuss that very issue of labour. This was organised by the Council of Palm Oil Producing Countries (CPOPC), a joint effort of Malaysia and Indonesia.
The forum was titled "Bright opportunities for millennial career and future in palm oil industry".
Tan Sri Yusof Basiron, the executive director of CPOPC, started the ball rolling by alluding to the fact that palm oil is no match when it comes to meeting the world demand for oils and fats.
His concern is that many among the millennial generation may not be aware of the vast potential that palm oil has to offer in terms of career.
This was reaffirmed by the first panellist, Eric Kiu Kwong Seng, the chief operating officer of Sarawak Oil Palms, one of the leading plantations in the country.
I used the time given to me to drive home the message to the audience, which that day numbered about 200, that many among the young may not be aware of the bright prospects of the palm oil industry.
The fact is, global demand for oils and fats has been growing at an average of three per cent annually.
This has happened not only because of the growing world population, but also because of the rise in per capita consumption of oils and fats, thanks to the improvement in the purchasing power of many countries.
Since palm oil is the most cost competitive among major oils, it naturally dominates the demand. And, it will continue to do so because it is the most productive in per hectare yield.
Looking at the yield data over the past years, it is quite unlikely that the other oils can come close to the runaway yield of palm oil.
That is just the food side of the demand. The non-food applications of palm oil are even more convincing. Oleochemicals, thanks to their renewable nature, are slowly taking away the market share of petrochemicals.
This is especially glaring in the surfactant and detergent market, mostly because oleochemicals are biodegradable and, therefore, good for the environment.
The shift away from fossil-based chemicals will continue to grow, which is again good news for palm oil. This is because the oleochemical business sees palm oil as the most optimal raw material.
Datuk Daud Amatzin, chairman of the ISP, concurred with the view that the future of palm oil is indeed bright. He went on to belabour the point that the millennial should be made aware of the vast career opportunities that palm oil offers.
And if technology is what young jobseekers are looking for, it is no longer a secret that the industry is now increasingly adopting the latest digital and IR4.0 technologies to drive productivity.
In fact, soon, one can see the difference in the technologies used in advanced manufacturing and the palm oil industry. And if you are looking for excitement in terms of the outdoors, palm oil will definitely have an edge.
The forum was unanimous that the industry needs to be more aggressive in reaching out to the millennial talent.
Some thought must be given to develop a blueprint on labour planning and acquisition for the industry. Prospective jobseekers should be offered an attractive package to advance their career.
One model to look at is the way the army recruits prospective soldiers. This is a sure way to sustain the supply of labour for the industry in the long term.
https://www.nst.com.my/opinion/columnists/2021/11/744659/better-planning-needed-attract-millennial-talent-palm-oil-industry