Malaysia losing up to 25% of palm oil yield

[caption id="attachment_4883" align="aligncenter" width="1014"] File Photo[/caption] The Malaysian Palm Oil Association (MPOA) said on Monday (July 20, 2020) that due to labor shortages, Malaysia is losing 25% of its potential palm oil yield. The group, which represents plantation firms, said the government’s decision to freeze the recruitment of new foreign workers until December could lead to the “demise” of the industry. “Pre-COVID, we were already short of 36,000 workers. This (shortage) has already resulted in us not realising our potential production by 10%-25%,” MPOA Chief Executive Officer Nageeb Wahab said in a conference. Malaysia, the world’s second-biggest palm oil producer, relies on workers from countries such as Indonesia and Bangladesh as they account for 84% of its plantation workforce. Thousands have already left palm estates for home as borders closed, and the group said it had not been able to replace those who had left. A dearth of workers could delay palm fruit harvesting and curb oil output, especially ahead of the peak production season that starts around September. Nageeb said plantation companies were actively hiring locals in support of the government’s policy, but locals were not interested in what they see as dirty, dangerous, difficult and demeaning. Find more... Source: Online/SZK