2/3/07 (The Star) MIRI  -  Sarawak is expected to rake in RM100mil in taxes from the sale of its crude palm oil this year.

Last year’s revenue was RM80mil.

The high amount of taxes is a reflection of the lucrativeness of this commodity, said Sarawak Land Development Minister Datuk Seri Dr James Masing.

This, however, does not take into account revenue from the oil’s related finished by-products, he added. 

Masing said the state government aimed to open up another 400,000ha from the Native Customary Rights (NCR) land bank to create oil palm estates to meet expected surge in demand for this edible oil.

“The world market for this oil is favourable and we expect an increase in demand, locally and from abroad,” he said after chairing a meeting with top officials of the NCR land development committee for northern Sarawak.

“Last year, the state government received more than RM300mil in financial investments from those wanting to venture into the NCR land development projects,” he added. 

The high price that can be fetched by palm oil should be an encouragement for more native landowners to venture into oil palm cultivation using the NCR land that they have, he stressed.

The land bank concept was introduced in the late 1990s. 

Native landowners with NCR recognition from the state government can opt to deposit their land into the land bank.

The state authorities would then identify private sector companies to open up agriculture estates to be developed in joint venture with the native landowners, and both would share the returns from the harvests.