Wednesday, April 27, 2005 - The palm oil industry contributed some RM30bilto the country’s economy last year, Plantation Industries and CommoditiesMinister Datuk Peter Chin Fah Kui said.

Chin (right) taking a closer look at some oil palm seeds in a makeshiftlab set up in NS Padang. With him is Hamad Kama (front centre).He said the amount was quite impressive after taking into considerationthe global challenges and competitions from other palm oil-producingcountries.

-In order to maintain a competitive edge in the industry, the plantationsector must equip itself with the latest technology and innovation.

"We must give due emphasis on research and development to remain ahead,"he said after launching the Golden Growers Club, initiated by CCMFertilizers Sdn Bhd in NS Padang, Seremban, on Sunday in conjunction withthe Malaysian Trust Fund Week.

Also present were Permodalan Nasional Berhad (PNB) president and groupchief executive Tan Sri Hamad Kama Piah Che Othman, CCM Bhd managingdirector Dr Mohd Hashim Ahmad Tajudin and CCM Fertilizers managingdirector Datuk Mizanur Rahman Ghani.

Chin said currently, the palm oil industry in the country took up about3.88 mil ha of plantation land.

"Of the total, about 9% is owned by PNB Group through Kumpulan GuthrieBhd, Golden Hope Plantations and Sime Darby Berhad," he said.

Chin said the industry players should use high quality seeds andbiotechnology to ensure higher yields.

"The Government's aim is to achieve a 35 tonnes fresh fruit branch and 25%oil extraction rate," he said, adding that the over dependence on foreignlabour should also be addressed.

Chin said the Government would continue to work closely with the privatesector through its research institute Malaysia Palm Oil Board (MPOB).

Citing an example, the MPOB had set up the Palm Oil Technology Centre inLabu, Negri Sembilan, to carry out research and development on thecommodity.

On the club, he said it was a good initiative by the firm to strengthenrelationships and foster long-term partnerships in the agriculturalcommunity.

He said the club could serve as a good platform to share and exchangeinformation on agriculture and crop nutrients.