KUALA LUMPUR, Sept 7 — The post-pandemic outlook for the palm oil industry in Malaysia remains bright, backed by the balanced supply and demand as well as expected recovery from labour shortages next year.
However, Yusof said, the lower prices of palm oil relative to soyabean oil were benefitting consumers, especially those whose incomes were affected by the economic slowdown due to the pandemic. Yusof also said the moratorium on new land expansion for oil palm cultivation in Indonesia and similar lack of new land for oil palm cultivation in Malaysia had limited the growth rate of palm oil production in recent years and in the long term.
“If this outlook holds true, palm oil producers will continue to enjoy remunerative prices for their palm oil, and maximising the production of palm oil will be pursued by improving yield through better agronomic practices,” he added. “This will represent an opportunity for a huge increase in revenue for palm oil producers, given the projected high prices prevailing in the near future,” Yusof said.
“The effect of a lack of workers has caused harvesting intervals to prolong to above one month at some plantations.