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POC2023 | Future Proofing Malaysian Palm Oil

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REDEFINING STRATEGIES TO ADDRESS THE MANAGEMENT & ECONOMIC CHALLENGES


IN SUSTAINING THE FUTURE FOR PALM OIL
7 MARCH 2023
Facing the Reality
Global Vegetable Oil Yield
6

Malaysia Palm Oil Yield


4
3.58 mt/ha to 3.05 mt/ha (-15%)
[mt/ha]

2
EU Rapeseed Oil Yield
1.20 mt/ha to 1.38 mt/ha (+15%)

US Soybean Oil Yield


0.46 mt/ha to 0.65 mt/ha (+41%)
0
1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022

EU Rapeseed Oil US Soybean Oil Malaysia Palm Oil


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STRENGTHEN MANAGEMENT

Challenges in management:
Yields Lapse in Labour Costs Lower
management ratio OER

It is important to ensure
that the industry is more Robust Resilient Reliable
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Back to Basics
• Urgent need for efficient management
• Crop losses
• Practice good harvesting and crop recovery
• Effective water management
• Better management of pest and diseases
• Do more with less (i.e. higher productivity/less workers)
• Proper training and supervision

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Transformational Research

Ganoderma Microbes to reduce Biotechnology for Peninsular OER 21%


the use of improved genetics Indonesia OER 24%
fertilisers by 20% Why?

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Using palm biomass at time of replanting:
Using • reduces fertilisers, improve soil and organic matter
• ensure appropriate land preparation to prevent pest
Palm Biomass and diseases (e.g. Rhinoceros beetle, Ganoderma, etc.)

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Combating Negative Image on Palm Oil

ORANG LABOUR
NUTRITION DEFORESTATION
UTAN ISSUES

GREENHOUSE
RSPO GAS
FOOD
EMISSIONS? SAFETY?
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IF WE DON'T IMPROVE
WE CAN'T COMPETE

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Disclaimer

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This presentation has been prepared by Kuala
Lumpur Kepong Berhad based on information
available at the time of preparation. All
information supplied during this presentation is
strictly confidential. No representation or
warranty, express or implied, is made as to the
fairness, accuracy, completeness or correctness
of the information contained within this
presentation. This presentation may not be
reproduced, transmitted or published in any
form or by any means without the prior written
permission of KLK. All rights are reserved by KLK.

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