MPOCC upbeat about future of palm oil industry

MIRI: The Malaysian Palm Oil Certification Council ( MPOCC) is optimistic that the palm oil industry will continue to have a bright future.

MPOCC chairman Muhtar Suhaili explained that crude palm oil (CPO) prices have continued to recover and now have reached RM2,400 a tonne; higher than average prices of RM2,299 and RM2,074 for April and May respectively due to the Covid-19 pandemic.

He said the price of fresh fruit bunches ( FFB) also increased, with Grade A priced between RM476-RM495 a tonne compared to between RM404-RM419 in early May.

“The government initiative as announced in the National Economic Rebuilding Plan (Penjana) on June 5 also gave good news to the palm oil industry as a whole. The government will provide 100 per cent exemption on export duty on crude palm oil, palm kernel oil and processed palm kernel oil from July 1, 2020 to Dec 31, 2020 as Prime Minister Tan Sri Muhyiddin Yassin explained that full exemption from this export duty was made to encourage the commodity sector.

“In that regard, palm oil futures continues to rise with increasing optimism from major consumer countries such as India, China and Pakistan after being delayed by the pandemic. The rise in palm oil prices is also supported by the recovery in crude oil prices, which boost biofuel appeal,” he said in a statement yesterday.

Muhtar, who is also Parti Islam Se-Malaysia (PAS) Sarawak deputy commissioner, congratulated the Ministry of Plantation Industries and Commodities on the news that India renewed its purchase of palm commodities.

“I believe through the direction of its minister Datuk Dr Mohd Khairuddin Aman Razali which aims to expand palm products to new markets including Africa and West Asia will provide greater international market space.

“In line with the minister’s statement, the ministry through Malaysian Palm Oil Board ( MPOB) will conduct a comprehensive review on the market strength in Africa and West Asia in the near future and on behalf of the MPOCC, we will ensure that the palm oil industry remains relevant through Malaysian Sustainable Palm Oil ( MSPO) certification as one of the key instruments in branding Malaysia’s palm oil as a top choice in the international

The government initiative as announced in the National Economic Rebuilding Plan (Penjana) on June 5 also gave good news to the palm oil industry as a whole. The government will provide 100 per cent exemption on export duty on crude palm oil, palm kernel oil and processed palm kernel oil from July 1, 2020 to Dec 31, 2020 as Prime Minister Tan Sri Muhyiddin Yassin explained that full exemption from this export duty was made to encourage the commodity sector. Muhtar Suhaili