New Law Needs To Be Enacted To Manage Oil Palm Waste -- Abang Johari

LUBOK ANTU, May 24 (Bernama) -- A new law needs to be enacted to manage and optimise the utilisation of waste from palm oil mills in Sarawak as part of a strategic move towards a green and sustainable oil palm industry.

Sarawak Premier, Tan Sri Abang Johari Tun Openg said a structured waste management would not only add value for oil palm operators but also help establish an agricultural sector that is aligned with environmental, social and corporate governance principles -- the international benchmark for sustainable investment.

He said collecting the oil palm waste in large volumes – around 100 tonnes – was crucial to ensure the efficient and profitable production of downstream products such as biofuels, animal feed, organic fertilisers and hydrogen.

“The private sector and the government should work together to set up a dedicated entity to collect all waste from the 85 palm oil mills across Sarawak,” he said.

Speaking at the launch of the Sarawak Land Consolidation and Rehabilitation Authority’s palm kernel crusher plant here today, he said the matter would be discussed further with Sarawak Minister for Food Industry, Commodity and Regional Development, Datuk Seri Dr Stephen Rundi Utom, and the State Attorney General.

Abang Johari said the proposed legislation should be seen in the context of Sarawak’s oil palm industry’s true capability and potential, noting that the state has now overtaken Sabah to become Malaysia’s largest oil palm producer.

He added that in 2023, Sarawak’s oil palm export to the international market stood at around RM14.3 billion, and this amount is expected to increase if the state diversifies its oil palm output through the production of downstream products.

“Just imagine if we start producing downstream products from oil palm, the revenue could exceed RM14 billion. This is the direction we want to pursue … from exporting raw materials to creating added value,” he added.

-- BERNAMA