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MPOB News Briefing on the Palm Oil Industry and NKEA of ering both the upstream sector which seeks to in- the Palm Oil Sector crease the productivity, as well as the downstream sector which aims to produce value-added prod- A briefing on the palm oil industry and the Na- ucts for the industry. tional Key Economic Areas (NKEA) of the palm oil sector was given to the Barisan Nasional Back- Currently, to enhance the contribution by the benchers Council (BNBBC) on 28 March at the smallholders in increasing oil palm productivity, Hilton Hotel, Kuala Lumpur. Among those who at- the government has to speed up its efforts in im- tended the briefing were Tan Sri Bernard Dompok, plementing the oil palm replanting scheme which Minister of Plantation Industries and Commodities; caters to palms which are 25 years of age or old- Dato’ Seri Utama Shahrir Abdul Samad, Chairman er. MPOB has launched a new replanting scheme of MPOB; Datuk Dr Choo Yuen May, Director-Gen- which provides RM 7000 per hectare to the small- eral of MPOB; Directors of MPOB and members of holders to replant. BNBBC. Licensing of Palm Oil Transporters The briefing was given by the Director-General of MPOB. Oil palm tankers and movers are now required to obtain a license from MPOB, starting from 3 Among others, the audience were briefed on the March this year. This new regulation introduced by achievement of MPOB and the industry, and on the MPOB is to ensure that the food safety of palm oil eight Entry Point Projects (EPP) under NKEA of the is not compromised during transportation of the palm oil sector, namely (1) Accelerating the Replant- oil, and thus the quality of foods produced from ing of Oil Palm; (2) Improving Fresh Fruit Bunch Yield; palm oil will not be affected. (3) Improving Worker Productivity; (4) Increasing the Oil Extraction Rate; (5) Developing Biogas at Palm Oil Tan Sri Bernard Dompok, Minister of Plantation Mills; (6) Developing Oleo Derivatives; (7) Commer- Industries and Commodities, commented during cialising Second Generation Biofuels; and (8) Expedit- the official launching of the Licensing of Palm Oil ing Growth in Food and Health-based Downstream Seg- Transporters that MPOB through its enforcement ment. and licensing activities will ensure that the nation’s palm oil industry will continue to develop and be Dialogue between MPOB Chairman and nurtured systemically. Smallholders According to Tan Sri Bernard, the ministry is MPOB organised a dialogue between Dato’ Seri working closely with MPOB to ensure that the Utama Shahrir Abdul Samad, Chairman of MPOB palm oil supply chain is not compromised in terms and oil palm smallholders in April this year. The of transportation safety and food safety regulations. dialogue was held in different sessions at various This will be achieved through such activities as pre- places in Sarawak, namely, Sadong Jaya, Betong, vention, and MPOB will not hesitate to take strict Batu Niah and Bekenu. action against any activity that can compromise the quality of Malaysian palm oil. He also identified In his opening address, Dato’ Shahrir encour- that one of the main activities that can jeopardise aged all smallholders to adopt new technologies the palm oil industry is that of siphoning off palm and apply good agricultural practices to ensure a oil during transportation by the tankers. higher income. This will in turn help the govern- ment in its efforts to transform Malaysia into a high To address this problem, the Ministry and income nation through the Economic Transforma- MPOB have already implemented a new system tion Programme (ETP) by the year 2020. of locating palm oil transporters through the use of the global positioning system (GPS). It is hoped He said that the government has identified the that with this new system, all the tankers can be palm oil sector as one of the catalysts in NKEA with monitored from the mills to their respective desti- the introduction of the eight EPP (listed above) cov- nations without worrying over the illegal transfer (theft) of palm oil en route. 43 Oil Palm Bulletin 63 Up until the year 2010, 39 cases of illegal trans- of MPOB and Tuan Haji Idris Omar, accompanied fer of palm oil have been reported, which involved the Minister to the event. the disappearance of 252.7 t of palm oil with an es- timated worth of about RM 674 000. Apart from these, MPOB had launched sustain- able palm oil co-operatives in Tongod and Kunak Launching of Pusat Latihan Sawit Malaysia in Sabah, in Saratok, Sarawak; in Jasin, Melaka and (PLASMA), Keratong in Kluang, Johor. MPOB’s Pusat Latihan Industri Sawit (PLASMA) The objectives of the co-operatives are to group was officially launched by Tan Sri Bernard Dom- independent oil palm smallholders into clusters pok, Minister of Plantation Industries and Com- to facilitate their efforts at increasing productiv- modities, in Keratong recently. PLASMA will train ity through good agricultural practices, and at the local skilled workers in the plantation sector, giving same time at improving the quality of the fresh emphasis to the maintenance and operating proce- fruit bunches so as to result in an increase in their dures of farm mechanisation. income within the sustainability guidelines. PLASMA Keratong is the second campus that Closing Ceremony and Certificate Presentation of has been developed by MPOB after PLASMA La- the Farm Mechanisation Operators Course had Datu which has been operational since 2006. At a cost of RM 36 million, PLASMA Keratong is MPOB organised a certificate presentation and the main campus which can cater for up to 100 closing ceremony for Farm Mechanisation Opera- students at one time, and has facilities such as an tors Course (KOML) on 28 July 2011 at MPOB’s Pu- administration block, assembly hall, lecture block, sat Latihan Sawit Malaysia (PLASMA), Keratong. mechanisation workshop, hostel and numerous other amenities related to oil palm mechanisation. This 10th edition of the certificate presentation was closed by Dato’ Hamzah Zainudin, Deputy Tan Sri Bernard hoped that with the introduc- Minister of the Ministry of Plantation Industries tion of the oil palm plantation courses at PLASMA, and Commodities. A total of 38 KOML graduates the local youth will take up this opportunity to gain were presented with their certificates. knowledge and expertise to develop a more crea- tive and innovative approach in the plantation sec- Certificates are given to candidates who have tor. The Minister also expected that the local people completed their Level 2 training programme which will replace the majority of foreign workers work- lasts about six months, including a one-month at- ing in the oil palm plantation sector by the year tachment to commercial estates. The KOML gradu- 2020. ates are awarded two certificates, namely, Sijil Ke- mahiran Malaysia (SKM) Level 2 and Certificate of Apart from Tan Sri Bernard, the event was also the Institute of Malaysian Plantation and Commod- attended by Senator Dato’ Maznah Mazlan, Deputy ities (IMPAC). Minister of Human Resources; Dato’ Seri Utama Shahrir Abdul Samad, Chairman of MPOB; Datin Muhammad Ridwan Hamzah was pronounced Paduka Nurmala Abdul Rahim, Secretary General the best student for the 10th edition of KOML Level of the Ministry of Plantation Industries and Com- 2 based on his excellent examination results and modities and Datuk Dr Choo Yuen May, Director- good attitude. To date, all the graduates of the 10th General of MPOB. edition intake have been offered jobs by the indus- try. Launching of Sustainable Palm Oil Co-operatives The function was also attended by Dr Ahmad Tan Sri Bernard Dompok, Minister of Plantation Kushairi Din, MPOB’s Deputy Director-General Industries and Commodities, launched the Kuala (R&D); MPOB Directors, KOML lecturers, industry Selangor Selatan Sustainable Palm Oil Co-opera- representatives from the surrounding estates and tive in Kuala Selangor, Selangor on 10 May 2011. government agencies, as well as the parents of the Dato’ Seri Utama Shahrir Abdul Samad, Chairman students. of MPOB and Tuan Haji Idris Omar, Director of the Integration Research and Extension Division of B5 Implementation Programme in the Central MPOB, also attended the occasion. Region The Minister launched another sustainable B5 is a blend of 5% biodiesel and 95% diesel. Bi- palm oil co-operative in Beluran, Sabah on 27 June odiesel is produced from palm oil. This alternative 2011. Datuk Dr Choo Yuen May, Director-General fuel was first tested on government-owned vehicles 44 MPOB News during the initial trials before it was made available sation and Restriction of Chemical (REACh) sub- at the petrol stations. stances. The law was implemented on 1 June 2007, and MPOB has been obligated by this new ruling to The B5 programme in Malaysia is being imple- obtain information on the physico-chemical, health mented on a regional basis, starting in the Central and environmental properties of the substances un- Region which involved five states, i.e. Putrajaya, der its jurisdiction, and to use this information to Melaka, Negeri Sembilan, Kuala Lumpur and Se- determine how these substances can be used safely. langor. Steps have been taken by MPOB to further The first launching of B5 and a press conference strengthen this cooperation by sending MPOB’s re- were held successfully in Putrajaya on 1 June 2011 search officers to pursue post-graduate training at at the Petronas Petrol Station, Precint 9D, Putrajaya, a European university, and by sending its research officiated by Tan Sri Bernard Dompok, Minister of officers to numerous other institutions to undergo Plantation Industries and Commodities. training in the fields related to the oleochemical in- dustry. The second launching of B5 was held success- fully in Melaka on 1 July 2011 at the Shell Petrol With these measures completed, AOTD is now Station, RA Talang, Ayer Keroh, Melaka, officiated ready to establish OECD-GLP Ecotoxicity and by Dato’ Seri Muhamad Ali Rustam, Chief Minister Toxicity Laboratories to meet EU- REACh require- of Melaka, with Dato’ Seri Utama Shahrir Abdul ments.