Ms. Rafizah - Overview of The Malaysian Oil Palm Industry

OVERVIEW OF THE MALAYSIAN
OIL PALM INDUSTRY – ISSUES &

CHALLENGES
RAFIZAH MAZLAN
Desk Officer for Europe
Malaysian Palm Oil Board (MPOB)
MPOB-INDUSTRY ENGAGEMENT ON 3-MCPDE AND QUALITY

22 April 2019 | MPOB HEAD OFFICE
PRODUCT DEVELOPMENT AND ADVISORY SERVICES DIVISION , MALAYSIAN PALM OIL BOARD
MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

ISSUES &
CHALLENGES
Anti-palm oil campaigns have

surrounded our industry - one
after another

Palm Oil – Global Issues
Environmental Impact People’s Health
• Deforestation • Saturated fat

• Loss of biodiversity • Food safety – 3-MCPDE and GE
• Greenhouse gases (GHG) emissions
+ Social Impact

Environmental Impact
• Deforestation
• Loss of biodiversity
• Greenhouse gases (GHG) emissions

Anti-palm oil campaigns…..Intensifying….
21 January 2019: Demonstration in front of European

Commission, Brussels
The negative perception starting to ”stick” into the

minds of the Europeans..........

Summary : Trend Negative Perception
Source: Prof. Pietro Paganini, POC 2019

Palm Oil Free Certification
Products (Not Brand Based)
193
845
Companies
2
21
CCF: Choose Cruelty Free


Palm Oil Free Labelling

Palm Oil is NOT the Major Cause of
Deforestation
Beef is the main driver of deforestation of all major agricultural commodities
Deforestation linked to major agricultural commodities
1990 - 2008
63
mil ha
10 13 8 6 5 4 3 1
Beef and Pig and Soy Maize Palm oil Wood Rice Sugar cane Rubber
other poultry products
ruminant
products
Oil palm companies are the most committed to No Deforestation

Companies with at least one relevant commitment to no deforestation
as at 2016
59% 53% 21% 12%

The Facts: Forest Fires
Source: ForFreeChoice

Consumers’ Response on Sustainable Palm Oil
Most respondents never heard of sustainable palm
oil, green palm and RSPO
Source: Ferrero

Orang Utans: Biggest Threats
• Found outside protected areas The population of

orang utan is about
• Fragmentation and isolation 2,500 and
11,000 individuals
• Poaching in Sarawak and
Sabah respectively
• Human-wildlife conflict
(Ancrenaz et al., 2005; Wich et
al., 2008; Alfred et al., 2010)

Orang Utans: Good News
In 2004,… only
40% of orang
utan habitat was
within the
protected area
Today, this figure

has increased to
85%

www.ourplanet.com/en/explore/jungles/

People’s Health
• Saturated fat
• Food safety – 3-MCPDE and GE


Image of palm oil related health and nutrition
Palm Oil is an easy target!

Harmful to Health : Somebody say so…
Unsustainable: NGOs say so…
Unethical: Friends of the above say so …
Science Free
Nobody wants to look at Science!

PRODUCT DEVELOPMENT AND ADVISORY SERVICES DIVISION , MALAYSIAN PALM OIL BOARD Prof. Pietro Paganini from Italy - POC 2019
Palm oil is with us all day –
from the moment we wake up
until we go to bed
Source: Philadelphia Zoo

Nutritional Research Projects by MPOB and International
Institutions (1983 – 2018)
CHD Palm Carcinogenesis Red Palm Other Total
Vitamin E Palm Oil Phenolics Studies
USA /
Addressing Canada
40 28 11 4 6 4 93
Nutritional Europe 9 4 - 1 - 1 15
Benefits of Palm Australia 13 5 - - 4 2 24
Oil and Saturated Asia/ 15 - - 5 - - 20
Fat Issues Middle
East
Africa 4 - - 7 - - 11
Malaysia 20 16 12 3 8 7
- MPOB
66
- Others 6 15 5 - 1 - 27
Total 107 68 28 20 19 14 256
CHD: Cardiovascular heart diseases

Selected Human Studies of Long Term Intake of Palm Olein Carried
Out Over the last 20 Years (1992- 2017)
TC: HDL Cholesterol Ratio
0
Malaysia: Australia: Australia: Malaysia: MPOB India: National China: Center for Malaysia: MPOB Italy: University China: Southeast
Institute for University of University of (1995) Institute of Disease Control (2011) of Udine Via University (2017)
Medical Research Sydney (1992) Sydney (1995) Nutrition (1995) and Prevention Sondrio (2016)
(1992) (2) (1997)
(5) (9)
Palm Olein Olive Oil Canola Ground nut
Palm olein behaves more like a monounsaturated oil in its effects on cholesterol levels,
although it contains saturated fatty acids
References:
1. Ng et al. 1992 Am J Coll Nutr 4. Sundram et al. 1995 Nutr. Biochem. 7. Voon et al. 2011 AJCN
2. Truswell AS et al. 1992 Nutr. Res. 5. Ghafoorunissa et al. 1995 Lipids 8. Lucci et al. 2016 Food Funct.
3. Choudhury et al. 1995 AJCN 6. Zhang et al. 1997 Asia Pacific J Clin Nutr 9. Sun et al. 2017 Asia Pacific J. Clin. Nutr.

No association between saturated fats and CVD/CHD
Found no association between saturated fats and health outcomes related to all
cause mortality, CVD, CHD, stroke and type 2 diabetes.
On the other hand, trans fats were correlated with all cause mortality and CHD
mortality as well as total CHD.


Current status of 3-MCPDE in the EU
EU ruling is proposing TWO maximum limits (Oct. 2018)

1.25 ppm for soft oils including palm kernel oil
2.5 ppm for palm oil and fish oil
Publication of Proposal and Public Consultation: April 2019

Voting by Standing Committee: June 2019
Implementation time: 18 months grace period
Entry into force: 1 January 2021

Alvin Toffler is an American Writer (Lived :1928-2016)

Conclusion
• To continue to address palm oil issues at all available
international platforms through diplomatic approach
(bilateral and multilateral, WTO, ASEAN and CPOPC)
and work with palm oil producing countries
• The industry should focus on producing high quality

(with low process contaminants) palm oil and products
• To enhance and intensify downstream sectors (e.g.

phytonutrients and oleochemicals from palm oil) for
value addition
25
Thank you
Rafizah Mazlan
Desk Officer for Europe
E-mail: rafizah@mpob.gov.my
Malaysian Palm Oil Board (MPOB)

6 Persiaran Institusi
Bandar Baru Bangi
43000 Kajang
Selangor, MALAYSIA
Website: www.mpob.gov.my
26

Ms. Rafizah - Overview of The Malaysian Oil Palm Industry

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OVERVIEW OF THE MALAYSIAN

OIL PALM INDUSTRY – ISSUES &

Malaysian Palm Oil Board (MPOB)

MPOB-INDUSTRY ENGAGEMENT ON 3-MCPDE AND QUALITY

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Anti-palm oil campaigns have

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Environmental Impact People’s Health

• Deforestation • Saturated fat

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

21 January 2019: Demonstration in front of European

The negative perception starting to ”stick” into the

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Source: Prof. Pietro Paganini, POC 2019

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Products (Not Brand Based)

CCF: Choose Cruelty Free

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Oil palm companies are the most committed to No Deforestation

59% 53% 21% 12%

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

• Found outside protected areas The population of

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Today, this figure

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Palm Oil is an easy target!

Nobody wants to look at Science!

Source: Philadelphia Zoo

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

Palm Olein Olive Oil Canola Ground nut

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

EU ruling is proposing TWO maximum limits (Oct. 2018)

Publication of Proposal and Public Consultation: April 2019

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

MINISTRY OF PRIMARY INDUSTRIES www.mpob.gov.my

• The industry should focus on producing high quality

• To enhance and intensify downstream sectors (e.g.

Malaysian Palm Oil Board (MPOB)

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