Page 208 - Westport Guide To Malaysia

200 PLANTATIONS AND COMMODITIES
Reaping A Golden Harvest
The plantation sector contributes approximately 60% of Malaysia’s total agricultural output and over RM100 billion annually to GDP. The Ministry of Plantation Industries
and Commodities and
its various agencies and industry councils are responsible for the overall development of the
sector, covering palm oil, rubber, timber products, cocoa, pepper, sago and tobacco and kenaf.
Palm Oil
Malaysia is the world’s second largest palm oil producer and exporter, responsible for 26% of global production and 34% of exports, with a total of 5.78 million hectares under cultivation in 2020. Palm oil and palm-based products contributed RM73.25
billion to the country’s export earnings in 2020
and employed more than 4 million people along the industry’s supply chain, including more than half
a million smallholders.
The Malaysian Palm Oil Board, an agency under the Ministry, has implemented 709 technological breakthroughs since
its formation in 2000, including high quality planting materials, best agronomic practices, modern milling and processing techniques, foods, nutrition, biomass, oleochemical products and biodiesel technologies.
To ensure that development is balanced with the environment, the Malaysian Sustainable Palm Oil (MSPO) certification scheme was implemented on 1st January 2015. The standards were developed in response to requests from, and in consultation with, industry stakeholders. MSPO requirements are applicable to the entire sector – independent smallholders, organised
A typical rubber tree with a latex collection cup on a plantation in Sungai Buloh, Selangor.
smallholders, plantations and palm oil mills –
and compliance has been mandatory since
1st January 2020.
Rubber
Malaysia is the seventh largest global producer
of natural rubber and
the world’s leading manufacturer and exporter of natural rubber and nitrile gloves, barrier contraceptives and rubber catheters. The total planted area of rubber is approximately 1 million
Malaysia is the first country to produce and export certified sustainable palm oil, thanks to its MSPO certification scheme, which has been mandatory since 2020.
The Malaysian Palm Oil Board has implemented 709 technological breakthroughs since its formation in 2000, thanks to cutting edge scientific research.