Fast track policies to assist palm oil industry in Sarawak

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KUCHING: In an open letter to the Minister of Plantation Industries Malaysia, Sarawak Oil Palm Plantation Owners Association (SOPPOA) urges the ministry to fast track policies to assist palm oil industry in Sarawak.

It stated that the palm oil industry in Sarawak is the youngest of the three main oil palm growing regions in Malaysia, namely peninsula, Sabah and Sarawak.

“Whilst the palm oil industry celebrated its 100 years anniversary in 2017, the industry in Sarawak is barely 60 years old but arguably the most handicapped and disadvantaged in many ways.

“We the Sarawak Oil Palm Plantation Owners Association (SOPPOA) wish to highlight some of these shortcomings to our newly appointed Minister for Plantation Industries and hopefully get positive responses to address the issues as suggested,” the letter said.

It added that a major concern for the palm oil industry in Sarawak is the lack of workers, which though partly is a result of the state’s policy but equally a responsibility for the ministry to come up with a simpler process for foreign workers recruitment that reduces red tapes. As aptly mentioned by our counterpart, the Malaysian Estates Owners Association (MEOA) labour woes are a major contributor to the lack of harvesters and other general workers necessary for the functioning of the industry.

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“SOPPOA is fully supportive of the urgent need for a mechanical harvester and/or a machine that lends assistance to a harvester.

“We believe that the stigma associated with working in the industry (as pointed out also by MEOA) could be overcome if the proper education, guidance and prospects of being meaningfully employed could be inculcated to our younger population.

“It is quite surprising that our education syllabus does not even acknowledge the contributions of this leading and important industry in the country which partly explains the lack of understanding and hence the unwanted association with the industry by young graduates and others looking for gainful employment.

“The lack of publicity on the importance of the industry to Malaysia in turn results in the lack of knowledge and understanding by the people here which explains the apathy when the industry is being targeted for environmental woes by foreign NGOs. Naturally our students, business executives and tourists going overseas lack the knowledge and skills to counter these one-sided environmental attacks on the palm oil industry and even locally, majority of them are not concerned by these attacks.

“Little do they know that without the palm oil industry, the country will suffer severe shortcomings in foreign earnings as well as jobs loss from the decline of the industry in multitude of jobs directly and indirectly related to the industry as a whole, from banking to transport, export, food and non-food industries as well as taxes collected. SOPPOA firmly believe that the ministry need to take a more direct and forceful approach in countering these environmental NGOs out to destroy the industry with their campaigns like orang utan habitats destructions, water and air pollution etc.

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“With the current emphasis on certification under Malaysian Sustainable Palm Oil (MSPO) for the industry the ministry also needs to work with other palm oil producers on such standards for the industry as a whole.

“With differing certification standards for different regional producers will not enhance the image of the industry internationally and so collaborations and partnerships are necessary for a brighter future; after all, Malaysia and our neighbors are together the world’s largest producers of palm oil and should not be dictated by others who are out to protect their own agriculture crops against the most productive and cheapest edible oil.

“In line with certification, R&D in the industry will be a major factor towards upholding these standards and continuous improvements as a way forward.

“While the vast majority of R&D has been carried out in peninsula, there is an urgent need to fast track R&D activities in Sarawak; the differences in soil, climatic and topography from those in peninsular, are some of the mitigating factors to warrant such R&D activities in the state.

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“Palm clones suited to the conditions in peninsula and Sabah need not necessarily be suited to the conditions in Sarawak which could explain the less than satisfactory yields from estates in Sarawak compared to those in the other two regions.

“The potential for the palm oil industry is huge in Sarawak but this can only be realized with the necessary inputs from R&D activities which should be fast tracked in the only region where the industry is still growing.

“Having stated these urgent remedies for the palm oil industry in Sarawak, SOPPOA also would like the minister to consider soft approaches to boost the industry in the long run.

“These include rationalizing tax reforms and levies associated with the industry through consultations as well as instituting long term planning for the future well being of the industry as a whole.

“It is foreseeable that the industry can continue to be an important contributor for the national economy with the necessary reforms and policies geared towards building a robust and sustainable industry,” the letter said.

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