Sarawak to shift palm oil focus to downstream growth, sustainability, says Abang Johari
KUCHING, May 24 — Sarawak will further strengthen downstream activities in its oil palm sector to enhance sustainability and economic value, said Premier Datuk Patinggi Tan Sri Abang Johari Tun Openg.
He announced that the state would shift focus away from crude palm oil production and instead prioritise downstream development to increase the sector's overall value.
'Not only will this make the palm oil industry in Sarawak more sustainable but it also contributes to increasing the state's revenue,' he said in a Sarawak Public Communication Unit (Ukas) report today when launching the Sarawak Land Consolidation and Rehabilitation Authority (Salcra) kernel crushing plant in Lubok Antu, Sri Aman.
Abang Johari noted that the state's palm oil industry had traditionally focused on crude oil production. However, he emphasised the need to evolve with modern technology to maximise the potential of the crop.
'With technological advances now, palm oil is also able to produce biofuel for aircraft use as well as serving as a source of food for livestock,' he said.
He added that this transformation aligns with Sarawak's development policy, which embraces the circular economy which focuses on reusing materials and reducing waste.
'Sarawak is currently placing great emphasis on the 'waste to energy' industry where waste will be turned into renewable materials and be purchased by the public in the form of other products,' he said.
According to Abang Johari, such eco-friendly products are now fetching premium prices in international markets, positioning this initiative as a promising new revenue stream for the state.
He reaffirmed Sarawak's commitment to producing environmentally sustainable goods under the circular economy framework, particularly by converting waste into high-value downstream products.
At a press conference following the launch, Abang Johari encouraged local farmers and ranchers to explore innovative ways of enhancing the value of their existing commodities.
He expressed confidence that Sarawak could realise its vision of boosting household incomes and becoming a major exporter of agricultural and livestock products by 2030.
'Most of our farmers have two hectares of land and if it doesn't affect their crops, the space between the oil palm trees can be used to rear animals,' he said.
Abang Johari noted that Sarawak does not depend on traditional grazing fields, but instead uses alternative feed sources like napier grass mixed with oil palm waste.
'This will increase income for our farmers because they will have two streams of income, one from oil palm and the other from livestock,' he said. — The Borneo Post
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