New Straits Times (06/09/2026) - KUALA LUMPUR: The Malaysian Palm Oil Board (MPOB) is shifting into a more market-driven role, seeking to move beyond research and regulation to actively shape the future of Malaysia's palm oil industry.

This is through greater digitalisation, global engagement and higher-value downstream development.

The transformation is being driven by PALMS 2030, a new framework aimed at strengthening the industry's competitiveness, accelerating technology adoption and expanding Malaysia's strategic presence in key global markets by 2030.

MPOB director-general Datuk Badrul Hisham Mohd said the framework marked a fundamental shift in how the agency operates, with greater emphasis on responding to market needs, leading the industry and translating research capabilities into economic value.

"We can no longer simply respond to issues after they arise. MPOB needs to be closer to the market, act faster and be more willing to drive change," he said at a town hall session with MPOB staff last Friday.

He said PALMS 2030 would be built around five principles - productivity, automation, low carbon, marketability and sustainability - and delivered through three core value chains: institutional reform, industry leadership and driving economic growth.

A key priority will be strengthening MPOB's international footprint, including exploring the establishment of regional offices in selected strategic markets to deepen engagement with industry players, research institutions and other international stakeholders.

Badrul said MPOB's research capabilities and technical expertise would also be deployed more strategically to help Malaysia respond to mounting trade challenges.

This includes the European Union Deforestation Regulation as well as anti-dumping and countervailing duties in the United States.

"We want MPOB to be not only a reference centre for palm oil technology, but also the eyes and ears of the industry in strategic global markets," he said.

The transformation will also place greater emphasis on moving Malaysia up the palm oil value chain.

MPOB is strengthening downstream development to reduce reliance on commodity exports and expand higher-value products such as oleochemicals, nutraceuticals and sustainable aviation fuel.

At the smallholder level, MPOB will broaden the role of its Tunas officers through five new functions — technology transfer agents, productivity coaches, innovation leaders, market liaisons and sustainability agents.

Badrul said the expanded role would help smallholders raise productivity, lower production costs, gain better market access and ultimately increase their net income.

The approach will also bring smallholders closer to the wider value chain through Sustainable Palm Oil Growers Cooperatives, while strengthening compliance with Malaysian Sustainable Palm Oil certification.

Under the institutional reform agenda, MPOB aims to digitise at least 90 per cent of its management and administrative processes by 2030, cutting bureaucracy, speeding up services and improving organisational efficiency.

The transformation will be underpinned by a high-performance culture centred on integrity, accountability and zero tolerance for misconduct.

MPOB will also deepen its research and development capabilities by establishing formal collaborations between all its research stations and universities and research institutes locally and internationally.

The partnerships are expected to broaden expertise networks, accelerate knowledge sharing and technology development, and improve the commercialisation of research outcomes.

Beyond the palm oil industry, Badrul said PALMS 2030 was expected to support the creation of high-skilled jobs, attract foreign direct investment, strengthen Malaysia's technological capabilities and contribute to food security.

"When we reform the institution, we can lead the industry. When we lead the industry, we can drive the economy.

"And when the economy is strengthened, the benefits must return to the people and the country," he said.

Read more at https://www.nst.com.my/business/corporate/2026/09/1526879/mpob-charts-new-course-palm-oil-industry