Next week in BizHive Weekly

In a year filled with its ups and downs, the commodities sector is not spared from this volatility and is spreading its consequences to the corporate sector. In spite of good efforts by Primary Industries Minister Teresa Kok and her team to excite commodities such as palm oil, rubber and timber, will the efforts pay off in time?

Next Week, BizHive Weekly will explore commodities and their drag on corporate earnings:

“Besides exploring new markets for palm oil, the government is targeting to have 100 per cent of plantation companies in the country certified with the Malaysian Sustainable Palm Oil (MSPO) by end of next year...We’ve visited China to negotiate (further palm oil imports) and they’ve promised to buy at a reasonable price.”

“If the price of rubber falls below RM2.20, the Malaysian Rubber Board (LGM) will ‘top up’ the difference. Based on my calculations, if all rubber tappers claim for the difference when the price falls below RM2.20, the government must have an allocation of RM294 million to make up for the shortfall. This is the IPG system and this is the action we can take now.”

“It is difficult to obtain approval from the relevant authority if timber is used as part of the main structure of the building. A working committee, to review the contents of the Uniform Building By-Laws 1984 (UBBL) to ensure it does not discriminate timber for construction, has been established by the Malaysian Timber Industry Board with relevant industry experts. The proposed draft is being finalised and will be submitted to the Ministry of Housing and Local Authority for its consideration soon.”