JULY-AUGUST. 2026 | @ AGROBiz

• MPIC wants palm oil mills to accelerate the adoption of digital technology, automation and AI to improve productivity and reduce reliance on manual labour.

• Greater use of mill by-products could help reduce carbon emissions, improve resource efficiency and contribute to Malaysia ' s energy security.

• Smallholders under MPIC had been approved for BUDI Agrikomoditi assistance as of Jul 15, the highest number recorded under the ministry.

Plantation and Commodities Ministry( MPIC) deputy secretarygeneral Datuk Razali Mohamad said cooperation among the ministry, the Malaysian Palm Oil Board( MPOB), regulatory agencies, and industry groups would support the sector ' s technological transition.

THE NEXT STEP: Modernisation and technology adoption are becoming increasingly important to improving efficiency across the palm oil milling sector.

He said the push aimed to reduce dependence on manual labour and help mills meet changing requirements in international markets.

" The palm oil milling sector must not only improve operational efficiency, but also meet increasingly stringent requirements in sustainability, environmental protection, occupational safety, traceability and compliance with international market standards, including the European Union Deforestation Regulation( EUDR).

" MPIC wants industry expertise to be fully utilised in policy formulation and regulatory improvements, so that every measure is practical and can be implemented effectively," he said.

MILLING FOR THE FUTURE

Razali represented Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad at the Southern Peninsula Palm Oil Millers Association ' s( SPPOMA) 42nd anniversary dinner in Ayer Keroh.

He encouraged SPPOMA members to raise their concerns and recommendations through the ministry ' s annual industry dialogue sessions.

Such discussions would allow MPIC to assess issues affecting millers and, when necessary, bring them to other ministries, including the Finance Ministry, during the Budget preparation process.

Razali also pointed to several devel opments already underway in the milling sector, particularly technologies that enable mills to make greater use of waste and by-products.

PRACTICAL REALITIES

" MPIC also welcomes the industry ' s progress in methane capture, biogas power generation, BioCNG production, oil recovery, process automation and the production of value-added products from palm oil biomass.

" These innovations have the potential to strengthen the circular economy, reduce carbon emissions and support the country ' s energy security," he said.

The ministry, he added, would continue to support the sector ' s development while ensuring sustainability measures do not overlook the practical realities faced by mill operators.

The emphasis on automation and biomass utilisation could also help mills improve productivity while extracting additional value from resources generated throughout the palm oil processing chain.

THE number of smallholders approved for BUDI Agrikomoditi assistance has reached 144,894 as of Jul 15, the highest recorded under the Plantation and Commodities Ministry( MPIC).

Plantation and Commodities Minister Datuk Seri Dr Noraini Ahmad said the figure reflected strong participation, although some eligible smallholders had yet to register.

" Take this opportunity today to ask questions, check your eligibility, and seek clarification from the relevant officers. I hope the public does not come merely to look around, but leaves with at least one piece of new information, an opportunity, or a channel that can help improve their income and family livelihood," she said.

Noraini was speaking at the Salam Agrikomoditi MADANI programme

ON THE GROUND: Noraini Ahmad speaking at the Salam Agrikomoditi MADANI programme.

in Kuala Pilah, which Deputy Prime Minister Datuk Seri Dr Ahmad Zahid Hamidi officiated.

She said the programme was established to bring government assistance and information closer to communities, covering financial aid, technical services, training, and entrepreneurship opportunities in the agri-commodity sector.

The initiative also provides a platform for smallholders and other community members to raise concerns directly with ministry and agency officers.

Noraini said Salam Agrikomoditi would subsequently be expanded nationwide to strengthen grassroots engagement.

" Through this approach, we can hear the people ' s voices firsthand, better understand their needs, identify the challenges they face, and determine the types of assistance that would genuinely benefit them," she said.

Ahmad Zahid said the programme could help develop Kuala Pilah ' s agricommodity sector while benefiting local farmers and smallholders.

" The government will continue to provide support to ensure Kuala Pilah becomes one of the leading districts in Negeri Sembilan and the country," he mentioned.

- @ AGROBiz