Nation

Record high CPO price brings huge profits to smallholders nationwide

KUALA LUMPUR: The rise in crude palm oil (CPO) price to record high in recent days has seen smallholders benefit nationwide.

This was after price of Crude Palm Oil (CPO) hit an all-time-high of RM5,750 per tonnes for two consecutive days on Feb 3 and 4, a first in the history of the national palm oil industry,

This in turn brought in huge profits to about 400,000 smallholders nationwide said Plantation Industries and Commodities Minister Datuk Zuraida Kamaruddin.

She said this is a testament to the commitment and dedication of the Plantation Industries and Commodities (MPIC) through the Malaysian Palm Oil Board (MPOB) and Malaysian Palm Oil Council (MPOC), together with the Malaysian Palm Oil Certification Council (MPOCC) to help the rakyat through various initiatives and Government policies.

Zuraida said MPIC will continue to strive to expand the Malaysian palm oil market to overseas markets, especially in West Asia such as in Turkey and Saudi Arabia, given the increase in Malaysian palm oil exports to Turkey with a total 703,588 tonnes in 2021 and Saudi Arabia's commitment to increase Malaysian palm oil imports to 500,000 tonnes which is estimated to reach RM1.5 billion in value, this year.

"Recently, following my visit and the MPIC delegation to Saudi Arabia, several memorandums of understanding (MoU) were signed with several companies including the Savola Group, which is the largest importer and distributor of edible oil in Saudi Arabia.

"In fact, MPIC entered into three areas of cooperation, including the construction of a storage tank terminal in Jeddah; making Saudi Arabia a hub for the re- exporting of Malaysian palm oil; and a joint campaign to promote the benefits of Malaysian palm oil to their country and the world.

"I am confident the country's palm oil industry will continue to thrive in line with the ongoing efforts by this Ministry," she said in a statement.

Zuraida said although there are sanctions imposed by the United States (US) and the European Union (EU) on Malaysian palm oil, MPIC will continue to work hard to ensure the long-term interests of the palm oil industry are safeguarded and will continue assisting palm oil smallholders and other stakeholders.

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