MEDIA RELEASE

 

MEDIA RELEASE

 

FADILLAH: THE MALAYSIA-KENYA TRADE RELATIONSHIP IS

IMPORTANT WITH KENYA AS MALAYSIAN PALM OIL GATEWAY IN

THE EAST AFRICAN REGION

Deputy Prime Minister and Minister of Plantation and Commodities, The Honourable Dato' Sri Haji Fadillah bin Haji Yusof in his keynote address during the Malaysia Palm Oil Forum (MPOF) East Africa 2023  highlighted the importance of the Malaysia-Kenya trade relationship and emphasized the significance of Kenya as a vital market for Malaysian palm oil in the East African region.

MPOF 2023, an event organized by Malaysian Palm Oil Council (MPOC) - a council under the Ministry of Plantation and Commodities was held today in Nairbi, Kenya and was officially inaugurated today by Dato' Sri Haji Fadillah bin Haji Yusof. The event gathered industry players and stakeholders from both Malaysia and Kenya to explore opportunities and foster trade relations in the palm oil industry.

The forum featured prominent local industry players and international experts from Malaysia, Europe, and Kenya as speakers. In his keynote , he emphasized the mutual business relationship between Malaysia and Kenya, highlighting the increasing bilateral trade, which reached USD1.19 billion in 2022.

Under the theme "Pioneering Sustainable Solutions for A Better Tomorrow," the Minister emphasized Malaysia's commitment to providing affordable and sustainable palm oil products to Africa. He acknowledged Kenya's vital role as the 5th largest destination for Malaysian palm oil exports and stressed the importance of sustainable practices and partnerships to ensure a better future for both countries.

Dato' Sri Fadillah addressed the challenges faced by the industry, including market access barriers and negative anti-palm oil campaigns, and emphasized the need for a level playing field for fair competition.

Highlighting Malaysia's own sustainability certification standard, the Malaysian Sustainable Palm Oil (MSPO), the Minister emphasized its mandatory implementation since 2020. The MSPO ensures that Malaysian industries produce Certified Sustainable Palm Oil (CSPO) in accordance with international consumers' requirements.

Dato’ Sri Fadillah highlighted the significant role of palm oil in Malaysia's economy, being the highest-valued agricultural commodity exported in 2022, generating a revenue of RM137.8 billion. He encouraged participants to explore new avenues for expanding the edible oil and palm oil business, particularly in downstream higher value-added palm derivatives.

The Minister encouraged the private sectors of both Malaysia and Kenya to seize the numerous opportunities in downstream higher value-added palm derivatives. He called for partnerships and strategic alliances to explore new avenues for expanding the edible oil and palm oil business, particularly in areas such as oleochemicals, pharmaceuticals, processed foods, specialty products, and consumer brands. By fostering direct interactions between Malaysian palm oil suppliers and buyers, the MPOF aims to establish relationships that lead to enhanced business opportunities for all stakeholders involved.

 

MINISTRY OF PLANTATION AND COMMODITIES

4 JULY 2023

 

MEDIA RELEASE
DEPUTY PRIME MINISTER AND MINISTER OF PLANTATION AND COMMODITIES, YAB DATO SRI HAJI FADILLAH BIN HAJI YUSOF,
TO LEAD MALAYSIAN PALM OIL FORUM DELEGATION IN
NAIROBI, KENYA

 

Deputy Prime Minister and Minister of Plantation and Commodities, YAB Dato Sri Haji Fadillah bin Haji Yusof will be leading the Malaysian delegation to Nairobi from 3 to 7 July 2023, which will include his participation in the Malaysian Palm Oil Forum East Africa 2023. The forum is poised to be a significant event that aims to explore the trends and growth potential of palm oil in the East African market, while fostering bilateral cooperation between Malaysia and Kenya in the palm oil industry. During the forum, he will deliver a keynote address and officially inaugurate the event scheduled on 4 July 2023, emphasizing Malaysia's commitment to sustainable palm oil production and its expertise in the industry.


While in Kenya, Deputy Prime Minister and Minister of Plantation and Commodities is scheduled for a series of high-level meetings with Cabinet Secretaries of Kenya, and other relevant stakeholders including representatives from the palm oil industry. These meetings aim to foster greater cooperation and explore potential business opportunities in the palm oil sector between Malaysia and Kenya.


In addition, the Deputy Prime Minister and Minister of Plantation and Commodities’ itinerary includes visits to major palm oil refineries and food manufacturing companies. These visits will facilitate knowledge exchange, promote collaboration, and provide an opportunity to explore avenues for mutual growth in the palm oil industry. The working visit will also include interactions with the Malaysian diaspora in Kenya, further strengthening cultural ties and promoting bilateral relations between the two nations.


The Malaysian Palm Oil Forum East Africa 2023 serves as a platform to showcase Malaysia's expertise in the palm oil industry and explore opportunities for collaboration with East African countries. The Deputy Prime Minister's visit underscores Malaysia's commitment to promoting sustainable palm oil production and strengthening economic ties with Kenya.

 

MINISTRY OF PLANTATION AND COMMODITIES
1 JULY 2023

KEMENTERIAN PERLADANGAN DAN KOMODITI 

M A L A Y S I A 

 

SIARAN MEDIA

TREK KOMODITI KPK 2023

MEDIUM TURUN PADANG DEKATI PEKEBUN KECIL DAN PEMAIN INDUSTRI AGRIKOMODITI

 

Timbalan Perdana Menteri merangkap Menteri Perladangan dan Komoditi, YAB Dato’ Sri Haji Fadillah bin Haji Yusof menyempurnakan sesi ‘flag-off’ perasmian program Trek Komoditi 2023 anjuran Kementerian Perladangan dan Komoditi di lokasi pokok getah pertama di Tanah Melayu bertempat di Kuala Kangsar, Perak, hari ini. 

Bertemakan “Memacu Kemampanan Komoditi Negara Demi Kesejahteraan Rakyat”, program ini menjadi medium turun padang Timbalan Perdana Menteri merangkap Menteri KPK, YAB Dato’ Sri Haji Fadillah bin Haji Yusof bersama pihak pengurusan tertinggi KPK untuk menyantuni pekebun kecil dan pemain industri sektor komoditi secara langsung. Idea penganjuran program ini merupakan cetusan hasrat murni YAB Dato’ Sri Haji Fadillah bin Haji Yusof untuk menterjemah komitmen padu kerajaan menerusi KPK serta agensi di bawahnya bagi menjamin kesejahteraan pekebun kecil di lapangan menerusi sesi dua hala untuk memperoleh maklum balas secara dua hala tentang situasi semasa yang mereka lalui. 

Pada tahun 2022, keseluruhan pekebun kecil sektor Agrikomoditi berjumlah seramai 801,002 orang yang mana 335,264 orang berada di Semenanjung, 101,177 orang di Sabah dan 131,960 orang di Sarawak. 

Pekebun kecil dalam sektor sawit adalah berjumlah 446,061 orang, terdiri daripada pekebun persendirian seramai 213,460 manakala pekebun kecil tersusun pula berjumlah 232,601 orang. Di bawah kategori pekebun kecil tersusun sektor sawit, 100,060 orang adalah di bawah FELDA, 89,440 orang di bawah FELCRA,14,389 orang bersama RISDA manakala 28,712 orang lagi di bawah kategori Lain-lain. 

Sektor getah meliputi 310,797 orang, sektor koko diwakili oleh 5,317 orang, 38,182 orang adalah daripada sektor lada sementara sektor kenaf merekodkan 645 orang.

Bermula dengan pelaksanaan siri pertama meliputi Zon Utara Semenanjung pada 10 hingga 12 Jun 2023, program turun padang Kementerian untuk mendekati pekebun kecil di lapangan ini bakal diteruskan ke wilayah Borneo melibatkan zon Sabah dan Sarawak pada Julai dan Ogos kelak.

Semasa di Kuala Kangsar, YAB Dato’ Sri Haji Fadillah bin Haji Yusof berkesempatan bersemuka dengan para pekebun kecil getah di situ untuk memperoleh maklum balas berhubung situasi semasa yang dihadapi berikutan kejatuhan harga getah di pasaran dunia.

Semasa pembentangan Bajet 2023, Kerajaan telah bersetuju untuk meningkatkan paras harga pengaktifan Insentif Pengeluaran Getah (IPG) dari RM2.50 kepada RM2.70 dengan peruntukan sebanyak RM350 juta bagi menjamin kelangsungan para pekebun kecil getah. Sehingga Mei 2023, bilangan pekebun kecil getah negeri Perak yang telah berdaftar dengan PAT-G dan aktif membuat tuntutan IPG adalah seramai 17,259 orang dengan keluasan kawasan bertanam getah berjumlah 24,423 hektar.

Usai ‘flag-off’, rombongan Trek Komoditi yang diketuai oleh beliau kemudiannya melawat ke Kilang Delano Furniture Industries Sdn. Bhd. yang merupakan salah sebuah kilang perabot kayu tempatan di Sungai Bakap, Pulau Pinang bagi meninjau secara langsung proses penghasilan perabot.

Pemilihan lokasi ‘flag-off’ di kawasan Pokok Getah Pertama Malaya Kuala Kangsar ini memberi makna tersendiri terhadap sektor komoditi getah negara memandangkan pokok getah tersebut telah dibawa dari Brazil oleh Sir Henry Wickham semasa ekspedisi ke Tanah Melayu pada 1876.

Setakat ini, keluasan tanaman getah di negeri Perak seluas 39,796.10 hektar dengan bilangan pekebun kecil getah seramai 21,682 orang. Sebanyak 47% kawasan getah di negeri Perak terdiri daripada pekebun kecil individu, 22% adalah di bawah Rancangan FELDA, 14% adalah ladang milik agensi kerajaan, 5% adalah di bawah Rancangan FELCRA dan 5% adalah milik ladang swasta. 

Daerah Hulu Perak mencatatkan keluasan tanaman getah tertinggi dengan 37% daripada jumlah keluasan tanaman getah negeri Perak. Daerah Kuala Kangsar mencatat keluasan tanaman getah kedua tertinggi dengan 18% diikuti dengan Daerah Selama iaitu 10% daripada jumlah keluasan kawasan tanaman getah negeri Perak. 

Selaras dengan fokus keutamaan Dasar Agrikomoditi Negara 2021-2030 (DAKN 20230) bagi pemerkasaan pekebun kecil, KPK akan terus komited bagi menjamin kelangsungan hidup golongan ini yang merupakan tunjang kejayaan kepada kemajuan sektor komoditi negara menerusi pelbagai inisiatif seperti agihan bantuan dari masa ke semasa. 

KEMENTERIAN PERLADANGAN DAN KOMODITI 

10 JUN 2023

PRESS RELEASE

JOINT MISSION TO BRUSSELS

30 – 31 MAY 2023

 

1. A mission, comprising the Ministry of Plantations and Commodities of Malaysia, the Coordinating Ministry for Economic Affairs of the Republic of Indonesia, and the Council of Palm Oil Producing Countries (CPOPC) made a visit to Brussels, Belgium, on 30th and 31st of May 2023. This Mission was jointly led by YAB Dato’ Sri Haji Fadillah bin Haji Yusof, the Deputy Prime Minister and Minister of Plantation and Commodities of Malaysia, and H.E. Airlangga Hartarto, Coordinating Minister for Economic Affairs of the Republic of Indonesia. This was a follow-up to the decision made at the Bilateral Ministerial Meeting of CPOPC held on 9 th February 2023 in Jakarta, Indonesia. The main objective of the visit was to convey Indonesia and Malaysia’s concerns and objection to the newly legislated EU Deforestation Regulation (EUDR) to reiterate the importance of commodities namely palm oil to the economy and the well-being of its people in both countries.

2. Indonesia and Malaysia viewed that EUDR which is inherently discriminatory and punitive in nature, that would not only have detrimental effects on international trade but would also hinder the palm oil industry’s efforts on the attainment of the 2030 Agenda for the Sustainable Development Goals (SDGs). Both countries expressed their hope that the EU would observe the principles of transparency, non-discrimination, consistent with World Trade Organisation (WTO) rules and regulations, particularly in trading palm oil and its products. Indonesia and Malaysia believed that the EUDR should not create trade distortion nor be discriminatory in terms of product coverage and national treatment. While developing countries continue to engage in building a sustainable multilateral trading system, it is imperative that new regulations should be achieved through a balance, inclusive, deliberated, and non-trade restrictive approach.

3. While in Brussels, the Joint Mission had positive engagements with various leaders of the EU Commission and Parliament. The meetings were conducted in a cordial, frank, and open manner. In the meetings with Executive Vice-President (EVP) Frans Timmermans, European Green Deal and Commissioner for Climate Action Policy, Josep Borrell-Fontelles, High Representative of the European Union for Foreign Affairs and Security Policy, Virginijus Sinkevičius, Commissioner for the Environment, Oceans and Fisheries, Member of the European Parliament (MEP) Heidi Hautala, Vice President of the European Parliament, and MEP Bernd Lange, Chair of International Trade (INTA) Committee, the Indonesian and Malaysian leaders highlighted on the impacts of the EUDR on the value chain and consistently emphasized on the need for EU to engage with the producing countries at the working and technical level. There is also a need for the establishment of a consultative engagement by both parties to discuss ways and means of its implementation. Issues to be resolved include the inclusion of smallholders in the supply chain, acceptance of the national sustainable certification schemes as references to the implementation guidelines, technical clarification on the benchmarking system, geolocation, legality, and traceability.

4. The Joint Mission look forward to getting a positive response to the above issues and concerns in particular the setting-up of a joint task force. Both leaders reiterated the seriousness of the need for these issues to be resolved in view of its consequential repercussion.

5. Both countries underscored that, in connection with the country benchmarking system being developed by the European Commission, labelling a country as a high, standard, and low-risk has consequences to the sovereignty and image of the country. Therefore, the EU must carefully take into account and be aware of the labelling effects. Indonesia, and Malaysia strongly urge the EU to ensure that both Indonesia and Malaysia are low-risk countries.

6. Meetings with palm oil stakeholders, industry representatives and civil societies organisations in Europe were also held concurrently during the visit to Brussels. The leaders briefed the various stakeholders on the intent of this visit and the outcome of the meetings with the EU leaders.

7. While both Indonesia and Malaysia do not expect any tangible immediate outcome from all these meetings, both leaders sent a strong message on the importance for the EU to take cognisant of their wishes, at the same time paves the way for future collaborations and partnership.

8. In conclusion, the Joint Mission can be described as a success. Most important, there is a need to follow up in ensuring the points raised and discussed are being addressed and reciprocated. CPOPC would like to take this opportunity to thank both our Missions in Brussels for the assistance rendered towards making the mission possible.

MEDIA STATEMENT
EU REGULATION ON DEFORESTATION-FREE PRODUCTS : A DELIBERATE
ACT TO BLOCK MARKET ACCESS


On 6th December 2022, The EU Council and Parliament reached a provisional deal on a proposal to minimise the risk of deforestation and forest degradation associated with products that are imported into or exported from the European Union.


As a producing and trading country, Malaysia is deeply concerned over the developments of the EU Deforestation-Free Products Regulation, targeting commodities including palm oil, timber, cocoa, and rubber. This unilateral initiative is detrimental to free and fair trade, and could result in adverse impacts on global supply chain. Some aspects of the risk-assessment process of the Regulation are counterproductive to commitments to curb global deforestation and run the risk of disincentivizing producing countries.


Malaysia underscores the need for a balanced approach between achieving development goals and climate ambition. The 2030 SDGs remain the utmost priority for Malaysia. We have embarked on sustainability initiatives including national certification schemes, such as the Malaysian Sustainable Palm Oil (MSPO) certification scheme, Malaysian Timber Certification Scheme (MTCS) and Sustainable Forest Management (SFM) practices, with a view to facilitating access into the EU Single Market.


The Regulation will place additional burdens on Malaysian palm oil exporters to the EU market, specifically additional traceability requirements and data that must be provided to end-customers based in the EU. Countries will be ranked as ‘high risk’, ‘standard risk’ or ‘low risk’ and restrictions on commodities will be either more or less stringent, based on this ranking.


The Deforestation-Free Products Regulation is a deliberate act by Europe to block market access, hurt small farmers and protect a domestic oilseeds market that is inefficient and cannot compete with the cost of palm oil. Moreover, this Regulation could lead to higher food prices and reduced output at a time of record global inflation.


Europe’s justifications for promoting this Regulation is based on unsound reasoning and has a weak scientific basis. Malaysian palm oil is sustainable, and is one of the most certified vegetable oils in the world today. The Malaysian Sustainable Palm Oil (MSPO) standard already guarantees Malaysia’s commitment to comprehensive sustainability standards. Malaysia will continue to provide sustainable and deforestation-free palm oil to our European and global customers. There is no need to add further costs and burdens.


It would be offensive to Malaysia if either palm oil, or the country, is designated high risk by the EU Regulation. There is no justification for it .

Unnecessary regulations on palm oil exacerbate the food supply crisis, increase costs of food, increase energy costs and harm both the European and Malaysian economy and undermines our poverty alleviation efforts. The EU must commit to genuine engagement with producing countries.


Malaysia values the EU as one of our important trading and investment partners. We stand ready to further enhance this mutually-beneficial partnership, especially building on the recent signing of the Malaysia-EU Partnership and Cooperation Agreement (PCA) as well as possible resumption of Malaysia-EU Free Trade Agreement (FTA) negotiations.


YAB DATO’ SRI HAJI FADILLAH BIN HAJI YUSOF
DEPUTY PRIME MINISTER AND MINISTER OF PLANTATION
AND COMMODITIES
23rd DECEMBER 2022