14/10/2008 (Bernama), Sibu - The Malaysian Oil Palm Board (MPOB) should do more to help plantation owners and smallholders like what the Rubber Research Institute Malaysia (RRIM) did for the rubber industry.

Two speakers echoed this sentiment at the international seminar on "Agronomic Principles and Practices of Oil Palm Cultivation" here today.

Deputy Chief Minister, Tan Sri Alfred Jabu, officiated at opening of the seminar on behalf of Chief Minister Tan Sri Abdul Taib Mahmud.

The three-day seminar attracted over 700 participants from 10 countries.

The first speaker, Dr S. Paramananthan, who is also the organising chairman, said plantations and smallholders paid cess to the MPOB to undertake research and development (R&D).

"MPOB is to the palm oil industry like what the RRIM is to the rubber sector. In the old days, RRIM used to provide training courses and advisory services to planters and smallholders," he said.

He said MPOB was not doing what RRIM was for the rubber industry.

Another speaker, Datuk Abdul Hamed Sepawi, who is chairman of the Ta Ann Holdings Bhd, said MPOB collected over RM208 million in cess in the state from June 2007 to June 2008.

"One begins to wonder what value-added services have been accorded to the state so far. We are wondering how much R&D have been undertaken to overcome the problems and challenges faced by Sarawak's oil palm planters including the smallholders.

"Perhaps, it is time for the government to objectively review the cess payment to MPOB," he said.

Hamed said with the escalating costs of the commodities, energy, services and wages and the incessant labour shortage, the oil palm industry was constantly challenged to boost productivity and efficiency.

"This means we must constantly aim to increase our yields through intensive R&D, particularly on the applications of modern biotechnology techniques together with good plantation management practices and hiugh level of efficiency in our mill operations," he said.

He said as the oil palm industry was heavily export-oriented, progress in R&D and the technological developments must be made to sustain and enhance competitiveness in the global market.

"We rather the fee be considered based on case-by-case basis. Perhaps the government can consider implementing differentials in terms of cess contribution where the bigger companies will have to pay more," he said.

On fertiliser, Bolhair said it had drastically increased in prices by 150 to 370 percent and was still rising.

The capital investment in the form of plantation development expenditure in the industry has reached an estimated RM11.36 billion in the last six years of oil palm plantation growth in the state, he said. The plantation sector has generated 14,000 direct job opportunities for Sarawakians, including management and operation staff.