Latest news with #MPOB
New Straits Times
29-05-2025
- Business
- New Straits Times
Malaysia rolls out B20 biodiesel at KLIA in push for sustainable aviation
SEPANG: The rollout of B20 palm-based biodiesel for ground service equipment (GSE) would position Malaysia as a responsible and forward-thinking player in the global palm oil industry, said Plantation and Commodities Minister Datuk Seri Johari Abdul Ghani. He said the initiative would also reinforce Malaysia's standing as the world's second-largest palm oil producer, while showcasing its commitment to sustainable development. This follows the launch of an 18-month pilot project by the Malaysian Palm Oil Board (MPOB) to evaluate the use of B20 palm-based biodiesel in GSE at Kuala Lumpur International Airport (KLIA). The project is a joint effort between MPOB, Petronas Dagangan Bhd, Malaysia Airports Holdings Bhd and Teras Kembang Sdn Bhd, which oversees the fuel station supplying B20 biodiesel to ground service vehicle operators at KLIA. Johari said the launch signifies more than just a new initiative. It reflects a firm commitment to achieving net-zero carbon emissions and advancing a sustainable aviation industry. "This marks a historic moment, as it is the first time palm biodiesel B20 is being introduced for airport ground services or industrial sectors in Malaysia," he said in his speech. He stated that the National Biodiesel Programme has been in commercial operation since 2011, starting with the B5 Programme and later expanding in stages to include B7 within the transport sector. "The B10 Programme was made mandatory for the transport sector on Feb 1, 2019, and the B7 Programme for the industrial sector on July 1, 2019. "The B20 Programme for the transport sector was launched in January 2020 in locations such as Langkawi, Labuan, and Sarawak (excluding Bintulu)," he added. Johari said this reflects the country's ongoing dedication to advancing sustainable biofuels through multiple initiatives. He also noted that biodiesel usage has shown substantial environmental benefits, with studies indicating it can cut greenhouse gas (GHG) emissions by as much as 75 per cent compared to traditional diesel, thereby supporting both economic growth and environmental preservation. He said on a global scale, the International Civil Aviation Organization (ICAO) has established a target for international airlines to achieve carbon-neutral growth by the year 2050. "The use of biofuels for vehicles and ground service equipment at airports is counted as a step towards reducing carbon emissions in the aviation sector in line with ICAO's aspirations. "In this context, the pilot project launched today plays an important role in the use of B20 biodiesel for vehicles and ground service machinery at KLIA. "Earlier, I officiated the launch of B20 usage at the Petronas KLIA 4 Station, which has been selected as the designated station for this pilot project. "I hope this collaborative effort will serve as a model for other airports in Malaysia to also adopt B20 in their operations," Johari added. In a statement, the ministry stated that five GSE companies have shown interest in joining the pilot project, with an estimated monthly usage of 40,000 litres of green B20 biodiesel. Additionally, the ministry has set a goal to implement B30 palm biodiesel in the transportation sector by 2030, an objective that also serves as a key performance indicator under the National Agricommodity Policy 2021–2030.
Malay Mail
28-05-2025
- Business
- Malay Mail
The unsung gentleman of global sustainability — Ahmad Ibrahim
MAY 28 — Palm oil has come a long way since assuming leadership of the global oil and fats business. It accounts for the largest share, more than a third, of the world trade in oils and fats. Malaysia can claim to have started the expansion. Indonesia is now the largest producer. Malaysia is second. But unlike Indonesia, Malaysia has reached the limit in production because of land constraints. This has stabilised at about 6 million hectares. Malaysia has always respected the need to refrain from encroaching into environmentally sensitive permanent forest areas. We value biodiversity. To increase production, Malaysia is trying hard to increase yield. It is not easy because unlike Indonesia, Malaysia is very dependent on foreign labour to harvest the fruits. But Malaysia is intensifying her research and development (R&D) on breeding through Malaysian Palm Oil Board (MPOB) to deliver better yield. At an average of 4 tons per hectare per year, the yield is far behind the theoretically possible yield of 17 tons. We may reach there one day. The Malaysian Palm Oil Association (MPOA) is the industry group that has always been committed to the betterment of the industry. Compared to soy or sunflower, which require up to nine times more land to yield the same output, palm oil's efficiency is unmatched. — Picture by Farhan Najib MPOA brought together a few plantation groups established in the early years of the industry, including RGA, United Planters and MOPGC. I recently attended a dinner celebrating 25 years of MPOA. Many veteran industry captains came to honour the occasion. Tun Raja Alias, a much recognised leader of Felda, was there to receive a special award. MPOA chairman, Dato Lee of IOI Corporation, lamented about the low interest among the young generation to join the industry. In a world quick to vilify, palm oil stands as an unassuming titan, quietly powering our lives while weathering a storm of criticism. Found in half of all supermarket products, from lipstick to instant noodles, this ubiquitous oil is both a hero and a scapegoat of modern industry. Yet, amidst the clamour, palm oil behaves not as a villain, but as a gentleman; resilient, reform-minded, and indispensable. Imagine a crop that produces 35 per cent of the world's vegetable oil on just 10 per cent of the land allocated to oilseeds. This is palm oil's silent superpower. Compared to soy or sunflower, which require up to nine times more land to yield the same output, palm oil's efficiency is unmatched. In an era of shrinking arable land and growing populations, this efficiency isn't just impressive, it's critical. To shun palm oil would mean swapping it for far thirstier, land-hungry alternatives, exacerbating environmental strain. Palm oil's detractors rightly highlight its historical ties to deforestation and biodiversity loss. Yet, like a gentleman acknowledging past missteps, the industry has embarked on a transformative journey. The Roundtable on Sustainable Palm Oil (RSPO), established in 2004, now certifies 20 per cent of global production, mandating zero deforestation, peatland protection, and fair labour practices. Major producers like Malaysia and Indonesia have halted new plantation expansions in primary forests, while companies such as Sime Darby invest in satellite monitoring to combat illegal logging. These aren't mere pledges, they're measurable actions. Since 2018, deforestation linked to palm oil has fallen by 60 per cent in Southeast Asia. Malaysia now boasts of zero deforestation. Behind the headlines are millions of smallholder farmers, families in rural Indonesia, Malaysia, and Nigeria, for whom palm oil is a ladder out of poverty. The crop generates US$20 billion (RM84.5 billion) annually for Indonesia alone, funding schools, clinics, and infrastructure. Critics in wealthier nations, whose ancestors levelled forests for industrialisation, now demand developing countries forgo similar growth. Yet palm oil offers a paradox: it is both a development tool and a sustainability test case. The challenge lies not in boycotting it, but in ensuring its benefits reach those who need it most. Swapping palm oil for alternatives like soy or coconut is no panacea. Soy cultivation drives deforestation in the Amazon, while coconut farming's water intensity strains arid regions. Even olive oil, celebrated in Mediterranean diets, requires 3,000 litres of water per litre of oil, compared to palm's 1,200. Palm oil's sin isn't its impact, but its visibility. As the most scrutinised oil, it faces a double standard others evade. The path forward isn't demonisation but collaboration. Europe's recent deforestation law, which targets palm oil imports, risks penalising smallholders already adopting sustainable practices. Instead, wealthy nations should fund green transitions, supporting technologies like methane-capturing biogas from palm waste. Consumers, too, can advocate for certified sustainable products, rewarding ethical producers. Palm oil is no saint, but neither is it a sinner. It is a mirror reflecting our collective demand for affordable, abundant, and sustainable resources. To label it a 'gentleman' is to recognise its capacity for reinvention and its quiet role in sustaining modern life. The true test of global sustainability lies not in scapegoating a single crop, but in reshaping systems so that efficiency and ethics go hand in hand. Palm oil has shown it can adapt. The question is: Can we? * Professor Dato Ahmad Ibrahim is affiliated with the Tan Sri Omar Centre for STI Policy Studies at UCSI University and is an associate fellow at the Ungku Aziz Centre for Development Studies, Universiti Malaya. He can be reached at [email protected] ** This is the personal opinion of the writer or publication and does not necessarily represent the views of Malay Mail.
BusinessToday
27-05-2025
- Business
- BusinessToday
Malaysia Eyes Deeper Palm Oil Trade Ties With China In Strategic Trade Mission
Malaysia is set to strengthen its foothold in the Chinese palm oil market through a high-level trade mission to China led by Deputy Plantation and Commodities Minister Chan Foong Hin. The visit, from May 18 to 24, aims to unlock new commercial opportunities and expand Malaysia's palm oil exports, particularly in emerging western Chinese markets such as Chengdu and Chongqing, the Ministry of Plantation and Commodities announced. Joining Chan on the mission are Secretary General Yusran Shah Yusof and Malaysian Palm Oil Board (MPOB) Director General Ahmad Parveez Ghulam Kadir. The delegation will begin its journey in Shanghai, where Chan will officiate the 20th anniversary of the MPOB's Palm Oil Research and Technical Service Institute (PORTSIM), a vital hub for innovation and market development in China. PORTSIM collaborates with Chinese institutions to promote palm-based products across sectors, including food, oleochemicals, and household items. The institute plays a critical role in encouraging palm oil use in Chinese cuisine, particularly in popular regional dishes like mala hotpot. The delegation's itinerary includes company visits, roundtable discussions with state-owned enterprises and meetings with regional government officials, aimed at broadening trade and investment cooperation. 'Western China represents a growing market for sustainable raw materials,' the ministry said. 'This mission underlines Malaysia's commitment to boosting palm oil exports, supporting green growth, and reinforcing economic ties with China.' China is Malaysia's third-largest palm oil importer, accounting for 10% of Malaysia's total palm oil export value in 2024. Last year, Malaysia's palm oil exports to China grew 5.11% to RM10.57 billion, capturing a 26.7% market share of China's total palm oil imports. The strategic push into China comes amid shifting global trade dynamics, with Malaysia recently signalling plans to recalibrate its palm oil export strategies following new tariff measures imposed by the US. Related
Borneo Post
25-05-2025
- Business
- Borneo Post
Deputy Minister: Malaysia promotes high-value palm derivatives in global markets
Chan (third left) and others at a pre-council meeting ahead of the China (Chongqing)-Malaysia Industry Cooperation Dialogue. KUCHING (May 25): Malaysia is promoting high-value palm derivatives such as red palm oil, palm stearin and palm-based ice cream powder in the global markets, said Datuk Chan Foong Hin. The Deputy Minister of Plantation and Commodities said joint research and development (R&D) initiatives are underway with food companies in Sichuan and Chongqing, targeting applications in hotpot soup bases, spicy snacks and sustainable personal care products. 'As China pursues its vision of a shared future for mankind, Malaysia is proud to work alongside it—using palm oil as a bridge to promote regional green growth and sustainable development,' he said in a statement today. The statement was issued following the China (Chongqing)-Malaysia Industry Cooperation Dialogue, which was successfully held in Chongqing last Thursday, with a strong focus on expanding collaboration in palm oil trade, technological innovation and the development of sustainable supply chains. The dialogue was a highlight of the 7th Western China International Fair for Investment and Trade (WCIFIT), reaffirming Chongqing's strategic role within the Malaysia-China green value chain. Over 40 representatives from leading enterprises in food processing, condiments, personal care and oil refining industries attended the event for targeted business matching and dialogue. In his keynote address, Chan emphasised the growing global momentum toward green development, highlighting palm oil's potential as a critical bridge for regional cooperation. According to him, Malaysia is eager to leverage its Malaysian Sustainable Palm Oil (MSPO) certification—one of the world's highest sustainability standards—to strengthen institutional linkages with China in areas such as carbon labelling, biofuels and green materials. 'Together, we can build a supply network that is not only efficient and innovative but also environmentally responsible.' Chan noted the vast market potential in western China, with Chongqing acting as a central hub in the New International Land-Sea Trade Corridor. He explained that this logistical advantage allows Malaysian palm oil to efficiently reach inland provinces such as Sichuan, Guizhou and Shaanxi via the Qinzhou Port-Chongqing route. Chan announced that Malaysian Palm Oil Board (MPOB) and New Land-Sea Corridor Operation Co Ltd had signed a memorandum of understanding (MoU) to accelerate the development of a strategic palm oil supply chain covering western China. In addition, Malaysia is collaborating with Chongqing Jiaotong University to develop palm oil-based polyurethane acrylate for anticorrosive coating—broadening the scope of palm-based chemicals in China's industrial sector, he said. The dialogue concluded with a high-level roundtable on 'The Future of China's Palm Oil Industry Amid Global Oils and Fats Trends', moderated by Zhou Shiyong, president of Beijing Heyirong Co Ltd, featuring robust discussion on trade trends, sustainability certification, technological innovation and policy frameworks. This successful industry dialogue not only strengthened Malaysia-China collaboration across the palm oil value chain but also injected fresh momentum into building a green, efficient and mutually beneficial regional supply network—marking a new chapter in bilateral economic cooperation, the statement added. Chan Foong Hin China high-value palm derivatives lead
Borneo Post
25-05-2025
- Business
- Borneo Post
Deputy Minister: Malaysia promotes high-value palm derivatives in global market
Chan (third left) and others at a pre-council meeting ahead of the China (Chongqing)-Malaysia Industry Cooperation Dialogue. KUCHING (May 25): Malaysia is promoting high-value palm derivatives such as red palm oil, palm stearin and palm-based ice cream powder in the global market, said Datuk Chan Foong Hin. The Deputy Minister of Plantation and Commodities said joint research and development (R&D) initiatives are underway with food companies in Sichuan and Chongqing, targeting applications in hotpot soup bases, spicy snacks and sustainable personal care products. 'As China pursues its vision of a shared future for mankind, Malaysia is proud to work alongside it—using palm oil as a bridge to promote regional green growth and sustainable development,' he said in a statement today. The statement was issued following the China (Chongqing)-Malaysia Industry Cooperation Dialogue, which was successfully held in Chongqing last Thursday, with a strong focus on expanding collaboration in palm oil trade, technological innovation and the development of sustainable supply chains. The dialogue was a highlight of the 7th Western China International Fair for Investment and Trade (WCIFIT), reaffirming Chongqing's strategic role within the Malaysia-China green value chain. Over 40 representatives from leading enterprises in food processing, condiments, personal care and oil refining industries attended the event for targeted business matching and dialogue. In his keynote address, Chan emphasised the growing global momentum toward green development, highlighting palm oil's potential as a critical bridge for regional cooperation. According to him, Malaysia is eager to leverage its Malaysian Sustainable Palm Oil (MSPO) certification—one of the world's highest sustainability standards—to strengthen institutional linkages with China in areas such as carbon labelling, biofuels and green materials. 'Together, we can build a supply network that is not only efficient and innovative but also environmentally responsible.' Chan noted the vast market potential in western China, with Chongqing acting as a central hub in the New International Land-Sea Trade Corridor. He explained that this logistical advantage allows Malaysian palm oil to efficiently reach inland provinces such as Sichuan, Guizhou and Shaanxi via the Qinzhou Port-Chongqing route. Chan announced that Malaysian Palm Oil Board (MPOB) and New Land-Sea Corridor Operation Co Ltd had signed a memorandum of understanding (MoU) to accelerate the development of a strategic palm oil supply chain covering western China. In addition, Malaysia is collaborating with Chongqing Jiaotong University to develop palm oil-based polyurethane acrylate for anticorrosive coating—broadening the scope of palm-based chemicals in China's industrial sector, he said. The dialogue concluded with a high-level roundtable on 'The Future of China's Palm Oil Industry Amid Global Oils and Fats Trends', moderated by Zhou Shiyong, president of Beijing Heyirong Co Ltd, featuring robust discussion on trade trends, sustainability certification, technological innovation and policy frameworks. This successful industry dialogue not only strengthened Malaysia-China collaboration across the palm oil value chain but also injected fresh momentum into building a green, efficient and mutually beneficial regional supply network—marking a new chapter in bilateral economic cooperation, the statement added. Chan Foong Hin China high-value palm derivatives lead
