Headline News on Palm Oil. August 2021

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Nigeria - ​FG assures stakeholders in oil palm industry of expansion, easy of doing business
THE Federal Government, yesterday, assured stakeholders in oil palm industry of expansion and easy of doing business.

The assurance was made by the Permanent Secretary in the Federal Ministry of Agriculture and Rural Development, Dr Ernest Umakhihe, represented by Deputy Director, Tree and Crop Division, Federal Ministry of Agriculture and Rural Development, Chukwuemeka Utattah, in an opening address at the Oil Palm Value Chain Stakeholders Forum held in Enugu, capital of Enugu State.

Umakhihe who maintained that the oil palm value chain is among the commodity value chains promoted by the Ministry said  capacity of farmers is being built along the entire value chain in the 27 oil palm producing States. Vanguard

Uganda - ​Oil palm growing picks pace in Uganda
Uganda`'s palm oil exports totaled 45 million dollars in 2020,the government has partnered with private companies to strengthen and broaden the market for a crop that is turning lives around in one of Uganda`'s poorest districts.

“There has been a problem of markets here. Going forward I think this is where the emphasis is going to be put, on how to industrialize the agriculture. And NDP 3 is putting emphasis on this as well as the manifesto of the current government – they put emphasis on agro-industrialization. This is to create now markets internally,” said Ramathan Ggoobi, the permanent secretary of the ministry of finance.

At least 280,000 dollars is generated from oil palm on Ssese islands alone every month. There are not less than one million trees grown.​ AfricaNews

Indonesia's B40 biodiesel plan faces new delay due to palm price
JAKARTA (Aug 26): Indonesia's plans to raise the mandatory bio-content in its palm oil-based biodiesel to 40% may face further delays, after the high price of the vegetable oil has made the programme too costly, a senior government official told Reuters.

Indonesia, the world's largest palm oil producer and exporter, has a mandatory biodiesel programme with 30% palm oil content, known as B30, but intends to expand the use of the oil for energy to save on fuel imports.

Authorities had planned to increase the mix to 40% in July this year, but the timetable for the B40 programme is now unclear. TheEdgeMarkets

India - ​Palm-oil mission could stoke disaster without sustainability checks
Palm oil is the cheapest edible oil, used in most foods items, from bread to pizzas. In recent months, global prices have surged to multi-year peaks, forcing the government to cut import duties to make the fats affordable.

A plan cleared by the Union Cabinet to expand domestic palm oil output in ecologically-sensitive regions could be environmentally perilous unless backed by a set of strong safeguards, experts have said, citing disastrous impacts in growers such as Malaysia and Indonesia.

To cut India’s growing reliance on import of edible oils, the government on Wednesday approved the “National Mission on Edible Oils – Oil Palm (NMEO-OP)”, allocating ₹11,040 crore for it. The programme seeks to promote plantations in the northeastern regions, besides the Andaman and Nicobar Islands. Prime Minister Narendra Modi called the programme a “game-changer” on Twitter. HindustanTimes

India - ​Ambiguous definition means oil-palm plantations will count as forest cover
The National Mission on Edible Oils- Oil Palm (NMEO-OP), approved by the Union Cabinet last week, will increase the area under oil palm cultivation by an additional area of 6.5 lakh hectare (ha) by 2025-26, bringing a total area of 10 lakh ha under oil palm plantations in the country -- and thanks to the current definition of forest, the plantations that studies have found lead to deforestation and loss of biodiversity, will be classified forests.

The Forest Survey of India defines forest cover thus: “All lands, more than 1 ha in area with a tree canopy density of 10% irrespective of ownership and legal status. Such lands may not necessarily be a recorded forest area. It also includes orchards, bamboo and palm.”

“If the oil palm plantations meet our definition of forests, they will be integrated in forest cover. There is no plan as on today to change or review our definition of forest cover,” said Pankaj Agarwal, director general, Forest Survey of India. The total forest and tree cover in the country as per FSI’s 2019 report is around 80.7 million ha (807276 sq km). There was an increase of 0.56% in forest cover and 1.26% in tree cover as compared to 2017 according to FSI.  HindustanTimes

Singapore - ​INSEACT raises US$1.3m to convert palm oil waste streams into shrimp feed using BSF
Singapore-based insect ingredients company, INSEACT, announced that it has raised US$1.3m in an oversubscribed seed funding round. FoodNavigator

Additional backgrounder - ​Can insects help clean up palm oil's tarnished image?
DUBAI (Thomson Reuters Foundation) - A pioneering entrepreneur believes insects can help improve the reputation of the palm oil industry, which for years has been accused of causing widespread deforestation, while slashing commercial farming’s voracious water use.

Patrick Crowley, founder of Chapul, the first insect protein foods company in the United States, is proposing a “circular economy” for palm oil farmers so that waste and byproducts are used for farming insects on plantations. Reuters

US - ​USDA invests $26m in renewable biofuels infrastructure
USDA invests $26m in renewable biofuels infrastructure
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The US Department of Agriculture (USDA) is investing $26 million (€22.2 million) to build infrastructure to expand the availability of higher-blend renewable biofuels.

Deputy Under Secretary for Rural Development, Justin Maxson, said the investment will increase biofuel availability by 822 million gallons annually in 23 states.

The USDA is making the awards under the Higher Blends Infrastructure Incentive Programme and marks its first anniversary. To date, the USDA has invested $66.4 million (€56.8 million) in projects expected to increase biofuels sales by 1.2 billion gallons annually. BiofuelsNews

India allocates $1.5 billion to raise palm oil output
MUMBAI (Reuters) - India has allocated 110 billion rupees ($1.48 billion) to boost domestic palm oil production to 2.8 million tonnes by 2029-30, Agriculture & Farmers Welfare Minister Narendra Singh Tomar said on Wednesday.

The government will support small farmers to expand areas under oil palm cultivation to 1 million hectares from the current 350,000 hectares, he said.

($1 = 74.2350 Indian rupees)

Reporting by Rajendra Jadhav and Nidhi Verma; Editing by David Goodman Reuters

India - ​EXPLAINED: Why PM Modi Wants India To Become Atmanirbhar In Palm Oil Production
India is the world’s largest edible oil importer, depending on the likes of Malaysia and Indonesia to meet about 60 per cent of its annual need. But efforts have been on to change that by encouraging the farm sector to step up cultivation of oil palms. The Centre has okayed the 11,040-crore National Mission on Edible Oils-Oil Palm (NMEO-OP) days after PM Narendra Modi called on farmers to make India “atmanirbhar" in edible oil production. Here’s what you need to know.

HOW MUCH EDIBLE OIL DOES INDIA IMPORT?
The annual demand for edible oil in India is of about 25 million tonnes of which the country had imported a little over 13 million tonnes in the 2019-20 (November-October) period. The bulk of the imports comprised palm oils, which reportedly accounted for 55 per cent of the shipments coming in.

“While India has become self-sufficient or Aatmanirbhar in production of rice, wheat and sugar, but it was not enough as the country is dependent on huge imports of edible oils," Modi said on August 9 after virtually releasing the ninth instalment of Rs 19,500 crore to 9.75 crore beneficiary farmers under the PM-KISAN scheme. News18

India - ​Reduce import duty on oil palm seeds: Niranjan to Nirmala
As there were not enough seed nurseries in the country for supplying oil plan seedlings, he said there was no option but to import them from countries like Costa Rica, Thailand and Malaysia.

HYDERABAD: Urging Union Minister for Finance and Commerce Nirmala Sitharaman not to levy 30 per cent import duty on oil palm seedlings by including it under ‘palm nuts’ code, Agriculture Minister S Niranjan Reddy suggested that it be kept under the earlier code of ‘fruit seeds for planting and sowing’ as been the case till 2019 when import duty was five per cent. Niranjan Reddy wrote a letter the Union Minister on Tuesday, stating that the farmers could be encouraged to shift to oil palm cultivation, for which the State government has set a target of 20 lakh acre cultivable area in the next three years, if input costs, especially to procure seedlings, were kept low.

He has brought to her notice that in view of the Centre notifying 8.14 lakh acres in 25 districts of Telangana for increasing the area of oil palm cultivation, there was a need for 14.40 crore seedlings which were needed to be planted. NewIndianExpress

India - ​Cabinet approves National Mission on Edible Oils to boost palm oil production
The Rs 11,040 crore, NMEO-OP aims to triple India's palm oil production by 2025-26 and reduce dependence on expensive imports from South East Asia.

The Union Cabinet, on August 18, approved the Rs 11,040 crore National Mission on Edible Oils-Oil Palm to boost palm oil production in India and reduce dependence on expensive imports from South East Asia.

"Centre will come up with a mechanism to fix and regulate palm oil prices, If the market is volatile, the difference will also be paid by the centre through direct benefit transfer," said Agriculture Minister Narendra Singh Tomar at the post-cabinet media briefing on August 18. The outlay will be for a five-year period.

Earlier this month, Prime Minister Narendra Modi had announced the National Mission for Edible Oils-Oil Palm (NMEO-OP). The aim is to raise the domestic production of palm oil by three times to 11 lakh metric tonnes by 2025-26.​ MoneyControl

Malaysia - ​October launch seen for new East Malaysian palm oil contract
KUALA LUMPUR: Malaysia's bourse is targeting October to launch its East Malaysian crude palm oil contract, which is expected to benefit traders in the nation's two largest palm producing states, its derivatives exchange told Reuters.

Bursa Malaysia Derivatives Exchange (BMD) manages Malaysia's crude palm oil futures contract (FCPO), which sets the global price benchmark for the world's cheapest and most widely consumed edible oil.

The upcoming new contract - the East Malaysian Palm Oil Futures (FEPO) - will provide greater price discovery to the East Malaysian market, where crude palm oil is typically sold at a discount to spot prices in peninsular Malaysia.

"We are definitely excited about (this contract)... East Malaysian production has already accounted for almost 45% of Malaysia's total (palm oil) output, even though peninsular Malaysia's FCPO is the global price benchmark," Samuel Ho, BMD Chief Executive Officer said. TheStar

EU - ​T&E says end of EU jet fuel tax exemption to drive SAF
The European Union (EU)’s axing of the jet fuel tax will drive airlines to use cleaner, low carbon fuels, according to clean transport campaign group Transport & Environment (T&E).

Announced as part of the EU’s ‘Fit for 55’ plan, the tax reforms would, however, only apply to fuel used on private and commercial flights within Europe, exempting 60% of fuel sales, the T&E statement said.

The package also strengthened Europe's carbon market for aviation and set a mandate for the use of e-kerosene that would apply to all jet fuel sales in Europe – a crucial step in decarbonising long-haul flying, T&E said.

“Axing jet fuel’s tax exemption in Europe is a vital step towards ending decades of subsidised pollution, which even included fuel for private jets. But by not removing the tax exemption for flights outside of the EU, it still lets the majority off the hook,” T&E aviation director Andrew Murphy said.

Reforms to Europe’s carbon market, known as EU ETS, were running alongside the fossil jet fuel tax, according to the report. This should drive up the price of credits, and bring forward the date by when emissions must reach zero, T&E said. OFIMagazine

China/ EU - ​Chinese biodiesel producers chase high-value feedstocks
Chinese biodiesel and feedstock suppliers are diversifying to get more value for their money with ever-evolving European legislation regarding waste feedstock incentives.

Brown grease is becoming increasingly fashionable among suppliers, of which 18 in China are now registered with the main International Sustainability and Carbon Certification body from just three prior to September last year.

But those betting on this raw material are far from guaranteed returns, with trading firms having been stung before gambling on the next big thing.

Under the new EU renewable energy directive (RED) II, which came into effect this year, advanced feedstocks made from waste and providing greater greenhouse gas (GHG) savings are double counted towards transport fuel mandates.

These Annex IX raw materials are split into Parts A and B, the latter of which includes used cooking oil (UCO) and tallow. These are capped at 1.7pc of the of the road transport mix by 2030, while having their double counting status stripped for marine fuels in the Netherlands this year. ArgusMedia

India - ​Canola, soybean, sunflower oil are better than ghee or butter? Not really
Industrially processed seed oils used in most Indian kitchens have been called ‘heart healthy’. But new studies are concerning scientists and nutritionists.

Industrial seed oils like soybean, sunflower, canola, rapeseed are present in almost every Indian kitchen today. They are highly processed and extracted from seeds. But these oils were not part of our diet until the 20thcentury when the technology to extract them evolved. Extraction of these oils involves chemical solvents. The oils are often chemically altered during purification or refining.

Consumption of vegetable oils has increased drastically in the last few decades replacing fats like butter, ghee, lard because they are composed of saturated fats. Westernisation of diet brought some of these oils to the Indian kitchen. Palm oil, not a seed oil, ranks first in the list of edible oil consumed by Indians, with soyabean oil coming second. Together, both make up 65-75 per cent of total oil consumption. In comparison to saturated fats, refined vegetable oils are considered ‘heart healthy’ due to the presence of polyunsaturated fatty acids. However, new evidence that shows industrial seed oils contain a large amount of omega-6 fatty acids is raising concern among scientists and nutritionists. ThePrint

Liberia: Golden Veroleum Reacts to Rights Groups' Reports Condemning It of Ill treating Liberians
Monrovia — Golden Veroleum (Liberia) Inc. (GVL) acknowledges the report released by SDI and Milieudefensie which indicated that "GVL structurally fails to comply with obligations and commitments from the Memorandum of Understanding (MOU) that were signed in 2014 with the affected communities. "

While the scorecard is informative, it lacks details and context which are important for a reader to gain a truly meaningful insight into each theme highlighted. As part of its Sustainability Action Plan launched in 2018, GVL has also conducted a series of engagements with communities to audit and document the fulfilment of MOU commitments. Sustained and repeated discussions are required with each community to truly understand and agree on gaps in perception, interpretation and indeed fulfilment of MOU commitments. AllAfrica

Malaysia - ​MPOB, Malaysian Nuclear Agency ink MoU for palm-based research using radiation technology
KUALA LUMPUR (Aug 16): Malaysian Palm Oil Board (MPOB) and the Malaysian Nuclear Agency, Ministry of Science, Technology and Innovation (MOSTI) today signed a memorandum of understanding (MoU) for cooperation in the implementation of two palm-based research projects using radiation and other potential projects in the future.

The MoU signed today is the first step and will act as an umbrella for research projects implementation cooperation between MPOB and the Malaysian Nuclear Agency.

The first project is joint research in palm polyol and bio-polyester for the production of water-based acrylate polyurethane dispersions for the production of advanced coating materials using radiation technology.​ TheEdgeMarkets

Investing - ​Collaboration and engagement: how to balance impact and financial returns
Take, for a collaborative example, the palm oil industry.

As the most widely used vegetable oil in the world, supplying 35% of the world's vegetable oil demand, it is a very large market and a sector that has seen weak governance, poor labour standards and irresponsible cultivation practices with significant repercussions on the environment and the human rights of labourers and indigenous people.

The UN PRI's Investor Working Group on Sustainable Palm oil has 62 signatories representing over $10trn in assets under management, working together to seek changes in company behaviour, public policies or systemic conditions in the industry.

This collaborative engagement with companies across the palm oil value chain, including producers, refiners and traders, is an example of the enormous potential for the collective advancement of SDGs and creating greater uptake in not only sustainable palm oil, but cross-sectoral environmental and social awareness. InvestmentWeek

Ferrero - ​It’s important to talk about sustainable palm oil
Used in everyday items across virtually every fast-moving consumer good (fmcg) category, palm oil can be found in more than half of products on supermarket shelves. It offers multiple benefits over comparable vegetable oils and helps ensure products are available to shoppers with the frequency and quality they demand.

So why is it perceived negatively? Quite simply, it is misunderstood.

Making it sustainable
Shoppers will often cite concerns over the environmental and social impacts that palm oil has on the regions in which it is grown. While some concerns over any negative impacts of ingredient sourcing are valid, the perceived problems of palm oil are not best overcome by eradicating use altogether.

The solution is sustainable palm oil. TheGrocer

Nigeria - E​do allocates 57,000 hectares to oil palm investors
Edo State Governor, Mr. Godwin Obaseki, has said his government has allocated over 57,000 hectares of land to smallholders and large-scale oil palm plantation investors in four local government areas of the state, under the Edo State Oil Palm Programme (ESOPP).
Obaseki said this while delivering a keynote address at the National Initiative for Sustainable and Climate-Smart Oil Palm Smallholders (NI-SCOPS) Roundtable, held in Benin City, the Edo State capital.

The governor noted: “Edo State Government has allocated over 57,000 hectares of land under the ESOPP programme in four local government areas, which are Orhionmwon, Ovia-North East, Owan-West and Uhunmwonde local government areas. This is the first phase, as we are still looking for more land in the Ovia axis and as soon as this is completed, we will commence the second phase of allocation.​ GuardianNG

India to play a major role in promoting sustainable palm oil: Industry Experts
New Delhi, August 13: Council of Palm Oil Producing Countries (CPOPC) organized a webinar on the theme, 'Strengthening the market share of sustainable palm oil in India' to deliberate upon the prevailing state of palm oil demand-supply chain in India.

Eminent industry experts, Dr. Yusof Basiron, Executive Director, CPOPC along with Dr. Suresh Motwani, General Manager, Edible Oil, Solidaridad, Ms. Bhavna Shah, Country Head, Malaysian Palm Oil Council (MPOC) India, Bangladesh, Nepal and Sri Lanka, and Dr. M. Fadhil Hasan, Head of Foreign Affairs, Indonesian Palm Oil Association (IPOA) discussed the key industry issues, challenges, and recommendations for Indian market to establish a transparent and consistent supply chain of sustainable palm oil. NewKerala

REUTERS ​ANALYSIS-To hit climate goals, Indonesia urged to ban new palm oil plantations forever
KUALA LUMPUR, Aug 11 (Thomson Reuters Foundation) - I ndonesia should make permanent its temporary ban on new permits for palm oil plantations to advance progress on tackling deforestation and meet its climate goals, environmentalists say.

Home to the world’s third-largest tropical forests and also its biggest palm-oil producer, Indonesia introduced a three-year freeze on plantation permits that expires in September.

The moratorium sought to prevent forest fires, deforestation and land conflicts, help meet emissions reduction targets set under the Paris climate accord, boost oversight and accelerate efforts to increase yields among smaller palm oil producers. Reuters

Malaysia - ​Sime Darby Plantation to complete WRO assessment by early 2022
SIME Darby Plantation Bhd (SDP) expects to complete the Withhold Release Order (WRO) issued by the US Customs and Border Protection by early 2022.

Hong Leong Investment Bank Bhd (HLIB) analyst Chye Wen Fei said other key takeaways from a briefing with the planter include the latter facing several challenges in addressing International Labour Organisation (ILO) standards as well as compliance with Roundtable on Sustainable Palm Oil (RSPO) standards and exercise involving cost of RM20-RM25 million arising from the assessment process.

“Management shared that it is trying to expedite the assessment in certain areas particularly, in Sabah and Sarawak, which have already transitioned from Phase 1 of the National Recovery Plan, and is hopeful to complete them by early 2022.​ TheMalaysianReserve

Nestle - ​Nestle launches video platform to raise awareness about palm oil supply
Global food company Nestle has today (Wednesday August 11) launched an interactive video platform called ‘Beneath the Surface’ to raise awareness among consumers about the complex sustainability issues within the palm oil supply chain.

The platform allows viewers to directly experience some of the challenges that Nestlé faces in sourcing palm oil.

The complexity of the palm oil supply chain is displayed through a series of decisions that viewers are asked to make in order to ensure a transparent and sustainable palm oil supply chain on the global scale.​ Agriland

India - Price guarantee, higher input subsidy among planned support to oil palm farmers
The government may guarantee a fixed crop price to the farmers to motivate them to take up oil palm plantation under the soon-to-be-launched edible oil mission. The mission will likely be implemented over the next five years, entailing investments of Rs 11,000 crore in the “cooking oil eco system”.

Currently, oil palm farmers get 100% reimbursement on fertilisers usage during the gestation period of 4-5 years until fruits start bearing, besides planting materials at subsidised rates. The government is considering to expand the assistance to cover some other costs farmers incur in maintaining the plantation and the aid could be directly transferred into their bank accounts under Direct Benefit Transfer (DBT), sources said​. FinancialExpress

Nigeria - ​Nigeria can earn $20bn annually from cultivation, production of oil palm – Obaseki
BENIN CITY – The Edo State Governor, Mr. Godwin Obaseki, has reiterated the need for Nigeria to diversify its economy from crude oil, noting that the nation can earn $20bn annually from the cultivation and production of oil palm.

Obaseki, who spoke to journalists in Benin City, said the decline in prices of crude oil and the COVID -19 pandemic highlight the importance and urgency to diversify the country’s economy creating an alternative source of revenue.

The governor said his government is investing hugely in the agricultural sector to boost the state’s economy, tackle food insecurity and create wealth for Edo citizens.

According to him, “The Nigerian oil palm economy has the capability of earning over $20 billion for our country annually just for cultivation and production. This is why in Edo State, we have taken the bold step of increasing the production of oil palm by supporting investors through the provision of land and a peaceful, secure and business friendly environment to boost their investment.”​ NigerianObserver

Nigeria - ​Oil palm stakeholders seek policies, legislation for commodity production, sales
Stakeholders in the agricultural sector have asked the government and National Assembly to formulate policies and legislation that would regulate the sales and production of palm oil.

The Chairman Board of Trustees (BoT) of the National Palm Produce Association of Nigeria, (NPPAN), Chief Abiodun Adejo while interacting with journalists in Abuja, said there was need for palm oil to be graded before being sold.

He said the Association was making plans to make a presentation to the National Assembly on the importance of gazetting the product as an exportable commodity.

He said states or local governments where palm oil is produced is expected to grade the product before moving it out to the market. Zawya

India - ​Becoming ‘Atmanirbhar’ in edible oils
The forex saved from the cutting the import bill can go in boosting farmers to cultivate edible oilseeds
The country’s dependence on imported edible oil has pinched the pocket of ordinary citizens as the spike in prices are at an all-time high .

Recently Prime Minister Narendra Modi launched a ₹11,000-crore National Edible Oil Mission-Oil Palm (NEMO-OP) to make India self-reliant in edible oils. The Prime Minister has been for a while emphasising that the forex savings from reduced edible oil imports can be spent on encouraging farmers to take up palm and oilseeds cultivation in a big way.
​TheHinduBusinessLine

India to launch $1.48 billion plan to raise oilseed output, cut imports
NEW DELHI (Reuters) - India will launch a 110 billion rupee ($1.48 billion) plan to boost domestic oilseed production to make the country self-sufficient in edible oil, Prime Minister Narendra Modi said on Monday, a move that will cut costly vegetable oil imports.

India is the world’s biggest vegetable oil importer and spends an average of $8.5-$10 billion annually on edible oil imports.

The country produces less than half of the roughly 24 million tonnes of edible oil that it consumes annually. It imports the rest, buying palm oil from Indonesia and Malaysia, soyoil from Brazil and Argentina, and sunflower oil, mainly from Russia and Ukraine. Reuters

India - ​PM Modi announces palm oil initiative to make India self-sufficient in edible oils
Prime Minister Narendra Modi on Monday announced a National Edible Oil Mission-Oil Palm (NMEO-OP) to make India self-sufficient in cooking oils, including palm oil, as he stressed on reducing the dependence on imports.

Addressing a virtual event on PM-Kisan scheme, he said over Rs 11,000 crore will be invested in the edible oil ecosystem.

The Prime Minister also transferred over Rs 19,500 crore to over 9.75 crore farmers under the government's flagship PM-Kisan scheme.

On the occasion, Modi said while India has become self sufficient or Aatamnirbhar in production of rice, wheat and sugar, but it was not enough as the country is dependent on huge imports of edible oils. EconomicTimes

Indonesia - ​Golden Agri-Resources moots share sale worth US$100 mil via India subsidiary's IPO
Leading palm oil company Golden Agri-Resources plans to sell shares worth some US$100 million ($135 million) in the IPO of a subsidiary in India.

In an Aug 8 announcement, GAR said Gemini Edibles & Fats, its 56.27%-held indirect subsidiary, has on Aug 7 filed a draft prospectus with the National Stock Exchange of India for a proposed listing on the Bombay Stock Exchange.

GEF, described by GAR as one of the leading and fastest-growing edible oils and fats companies in India, plans raise some 25 billion rupees worth of shares, or around US$333 million, via the proposed IPO. TheEdgeSingapore

Indonesia - ​APPMI seeks ministry's approval to send migrant workers to Malaysia
Mataram, W Nusa Tenggara (ANTARA) - Indonesia's Migrant Workers Employers Association (APPMI) has sought approval of the Manpower Ministry (Kemenaker) to send Indonesian migrant workers (PMI) to Malaysia.

Head of APPMI Muazzim Akbar stated here on Saturday that the majority, or 90 percent, of the PMI from West Nusa Tenggara (NTB)  had been sent to Malaysia.

NTB's economy has been affected and unemployment has increased since the province is no longer able to send migrant workers to Malaysia, according to Akbar.

"The reason that we are requesting this is because these PMI have a large contribution to the region through remittance and not to mention the contribution to reducing unemployment," Akbar stated. AntaraNews

China remains largest market for North Sumatra's exports: BPS
Medan, N Sumatra (ANTARA) - China remained the largest export market for North Sumatra in the first half of 2021, with total exports valued at US$750.699 million, according to Statistics Indonesia (BPS).

"North Sumatra's exports to China continued to increase amid the COVID-19 pandemic. In the first semester (January-June) of 2021, the exports increased to US$750.699 million," chief of the Statistics Indonesia (BPS) Office in North Sumatra, Syech Suhaim, said here on Friday.

North Sumatra's exports to China in the first half reflected an 87.42-percent increase compared to the corresponding period of last year, when they were valued at US$400.553 million, he informed.

North Sumatra's exports to China mainly comprised crude palm oil and rubber, he said. AntaraNews

India - ​State promoting oil palm cultivation: Minister
​ 
The State government has set in motion an ambitious plan to promote oil palm cultivation in the State in a big way by offering subsidies to farmers to help them earn sustainable income and transform Telangana into a hub of oil palm cultivation, said Panchayat Raj and Rural Development Minister E. Dayakar Rao.

The Minister along with around 200 farmers from the old undivided Warangal district visited an oil palm plantation at Allipalli and the TSOILFED’s oil palm factory at Apparaopeta in Dammapeta mandal and the oil palm nursery in Aswaraopeta mandal as part of a field visit on Thursday.

The field visit was organised to familiarise the farmers of the erstwhile composite Warangal district with the oil palm cultivation methods, processing of fresh fruit bunches (FFBs) for extracting palm oil and the enormous potential of the edible oil plantation to ensure sustainable income for farmers, meet the country’s edible oil requirements and reduce dependence on imports for palm oil. TheHindu

India turns to Indonesia for palm oil in August

• Indonesian palm oil now about $15/mt cheaper than Malaysia
• Traders report incidents of vessel shortage, freight rate hikes
• Indian demand shifts to CPO from olein in August

India's palm oil purchases picked up in August, with most of the new orders going to Indonesia rather than Malaysia, after Jakarta's export duty cut on crude palm oil (CPO) made it the cheaper option for Indian buyers, sources told S&P Global Platts.

Malaysia – the second largest producer and exporter of palm oil after Indonesia – has been India's preferred seller of palm oil in Marketing Year 2020-21 (November-October).
Between November 2020 - June 2021, India imported 2.61 million mt of CPO from Malaysia, followed by 2.21 million mt from Indonesia, data from Indian vegetable oil trade body, the Solvent Extractors' Association of India showed. SPGlobal

Malaysia - ​How the palm oil industry is transitioning to net-zero
Palm oil is often associated with deforestation and greenhouse gas emissions, but with global demand for vegetable oil growing, it could be a sustainable solution.
Cultivating palm oil brings a high yield, with relatively little disruption to indigenous species compared to other oil crops such as rapeseed and soy.
Emissions can be captured and converted into energy as part of the production process, moving the industry closer to net-zero emissions.
The world’s population will reach 9.8 billion by 2050, with significant growth in the least developed countries. Meanwhile, the amount of arable land per person is shrinking, with a projected decline of 0.38 hectares in 1970 to 0.15 hectares per person by 2050. The world’s consumption of vegetable oils has more than doubled in the past two decades, from 87 million tonnes in 2000/2001 to 208 million tonnes in 2020/2021. This begs the question: how can we produce sustainable vegetable oils to feed the growing world population while safeguarding the natural environment. WEForum

US - ​Rise in use of vegetable oils in biofuels boosts ADM earnings
The increasing use of vegetable oil for biofuels has boosted second-quarter earnings for global agribusiness giant Archer Daniels Miller (ADM), World Grain reported on 28 July.

ADM’s net earnings in the quarter ended 30 June were US$712M – up 52% from US$469M in the previous year’s second quarter, while net revenue rose 41% to US$22.93bn from US$16.28bn, according to the report.

Against a backdrop of increasing demand for vegetable oils, ADM said it was planning to build a US$350M soyabean crushing plant and refinery in Spiritwood, North Dakota, USA, World Grain wrote.

“We expect the demand for US green diesel to continue securing a higher rate of growth, increasing by about 1bn gallons per year and reaching up to 5bn gallons by 2025,” ADM president and chief executive officer Juan R Luciano was quoted as saying in a 27 July earnings call. OFImagazine

Korea - ​LG Chem's bio-balanced super-absorbent polymer shipped to client in Jordan
SEOUL -- The first shipment of bio-balanced superabsorbent polymer produced by LG Chem, a chemical unit of South Korea's LG Group, went to Baby Life, a client based in Jordan. The product based on bio-materials such as renewable waste oil and palm by-products would be used for baby diapers.

Superabsorbent polymer (SAP), known as slush powder, can absorb and retain extremely large amounts of a liquid relative to its own mass. The largest use of SAPs is found in personal disposable hygiene products, such as baby diapers, adult diapers and sanitary napkins.

LG Chem said its product has received ISCC PLUS certification. ISCC PLUS, which is a global standard for recycled and bio-based materials, provides a thorough basis for the voluntary implementation of sustainability criteria in supply chains. The company would expand SAP sales to customers in Europe and the United States in the second half of 2021. AjuDaily

Malaysia - ​MPOB: Malaysian Sustainable Palm Oil certification at final stage of revision, expected to be ready soon
KUALA LUMPUR, Aug 3 — The Malaysian Sustainable Palm Oil (MSPO) certification is currently at the final stage of revision and is expected to be ready by the end of 2021 or early 2022.

The revised MSPO certification is expected to have new standards that include the latest sustainability requirements and practices.

The certification scheme is the national scheme for oil palm plantations, independent and organised smallholdings, and palm-oil processing facilities.

There are three separate standards under the MSPO scheme, which are the MSPO 2530-2 requirements for independent smallholders; MSPO 2530-3 requirements for oil palm plantations and organised smallholders; and MSPO 2530-4 requirements for palm oil mills.​ MalayMail

OPINION - EU's Carbon Tax Will Only Bring Economic and Environmental Devastation 
Last month, the EU announced a series of groundbreaking proposals aiming to combat climate change. Seeing as how Europe is enduring a summer of unprecedented weather-related deaths and disasters, the announcement couldn't have come at a better time. However, the EU seems to be forgetting the most important thing: it is not the only bloc that needs to transition to sustainable systems.

This month, scientists renewed their calls for immediate and urgent climate action, citing the ongoing heat waves and historic floods as proof that European cities are ill equipped for the realities of global warming. The European Commission responded with its "Fit for 55" proposal, which will aim to address the root causes of warming and slash greenhouse gas emissions by 55 percent over the next decade, establishing Europe as the first net-zero bloc by 2050. If accomplished, these steps will be crucial in mitigating life-threatening climate change.

However, not everyone is happy with the news. Australia's trade minister, Dan Tehan, condemned the EU climate measures—specifically the controversial Carbon Border Adjustment Mechanism (CBAM)—as protectionist policies which break WTO rules and hinder the global effort to combat climate change. Tehan said that the CBAM—which will tax imports based on their carbon footprint—is devised to fill Europe's coffers rather than target carbon leakage.​ Newsweek

Nigeria - ​Utilise FG’s NISRAL, NAIC Policies AFAN Urges Farmers
The Women Leader, All Farmers Association of Nigeria (AFAN) and Director-General/ National Coordinator, LUGAVO, Hajia Halima Njobdi has urged farmers to take advantage of the federal government’s Nigeria Incentive-Based Risk Sharing System for Agricultural Lending and the Nigerian Agricultural Insurance Corporation (NAIC) to safeguard risks exposures of their farming businesses post COVID-19.

She added that with the adverse impacts of the COVID-19 pandemic and worsening security challenges in Nigeria’s agric sector, Nigerian farmers have been advised to key into the insurance guarantee and subsidy regimes in agro-industrial value chains introduced by the Central Bank of Nigeria (CBN)
Halima stated this at the 2021 farming season sensitization programme for local farmers mostly women and youths in Abuja, recently.

She noted that this was a tough period for every farmer and the country in general following the ongoing insecurity and COVID-19 impacts.

According to her, there is need to turn to CBN platforms especially insurance guarantee and subsidy regimes in agro-industrial value chains to realise Returns of Investment (ROI) in agric farming.​ ThisDayLive

Malaysia Repatriates 88,000 Undocumented Migrants under Amnesty Programs
Malaysia has repatriated nearly 90,000 undocumented migrants since last November and collected U.S. $12.3 million in penalties from them under amnesty programs to legalize or send foreign workers back home, the country’s immigration chief said Monday.

More than 100,000 undocumented migrants who overstayed and lacked the required papers have participated so far in the so-called “recalibration” programs, which the government has extended from the end of June 2021 until the end of the calendar year, officials said.

However, the government also lost 100 million to 130 million ringgit ($23.7 million to 30.8 million) in potential revenue through levies that employers of undocumented workers would have had to pay had the laborers been legal, Immigration Department Director-General Khairul Dzaimee Daud said.

“Statistically, a total of 107,524 undocumented migrants have registered for this program up to Aug. 1, 2021. Of this number, 88,034 of them have already been repatriated,” Daud told reporters during a visit to Kuala Lumpur International Airport (KLIA).​ BenarNews

INTERVIEW: India's new palm oil rules to spur imports, unnerving refiners, says industry head
India's palm oil imports are set to rise in the current marketing year due to the recent government easing of restrictions on the importation of processed palm oils, but the move is expected to prove a setback to the country's edible oil refiners, according to B.V. Mehta, executive director of the Solvent Extractors' Association of India.

India's imports of palm oil could have been well below 8 million mt in the marketing year 2020-21 (November-October), but the June ruling changed that, said Mehta, head of the major trade body of Indian vegetable oil refiners and traders.
"I am [now] expecting palm oil imports to be around 8 million-8.5 million mt in the current year," Mehta told S&P Global Platts in an exclusive interview.

New Delhi on June 29 reduced the effective import tax rate on CPO to 30.25% from 35.75% per metric ton in a bid to bring down retail prices of edible oils.

The ruling also removed Refined, Bleached and Deodorized olein or RBD palm olein, a popular refined cooking oil, from a restricted import list and reduced the import tax on the product from 49.5% to 41.25%/mt. SPGlobal

India - ​Adani Wilmar files for big-bang Rs 4,500 crore IPO; firm poised to be seventh listed company from Adani Group
The firm, which aims to be the largest food company in India by 2027, is trying to muscle its way in the fast-growing consumer segment and unlock value through the IPO. If the plans fructify, it will be the seventh firm to be listed from the diversified Adani group’s stable.

FMCG company Adani Wilmar, which makes popular edible oil brand ‘Fortune’ and was set up in 1999 as a joint venture between Gautam Adani led Adani group and Singapore based Wilmar, has filed its draft red herring prospectus (DRHP) with market regulator Sebi for a big-bang IPO, multiple industry sources with knowledge of the matter told Moneycontrol.

“It’s entirely a primary issuance of shares and the size of the IPO is around Rs 4,500 crores,” said one of the individuals cited above.​ MoneyControl

India - Ramdev's Ruchi Soya to Start Palm Oil Plantions in North East
KOLKATA : Yoga guru Baba Ramdev’s Patanjali group-led Ruchi Soya plans to start palm oil plantations in Assam, Tripura and other North-Eastern states.

The oil processor which was taken over by the Patanjali group two years back after it slipped into the red has already done field surveys for the palm oil plantations which will be set up through contracts that guarantee farmers a buy-back by Ruchi Soya’s processing plants to be set up in those states.

“We plan to set up palm oil plantations in the North East. We have completed our survey there. We have plans for Assam, Tripura, Meghalaya, Manipur among others," said Baba Ramdev, Yoga tele-evangelist who backs the Patanjali business group in an interview with PTI.​ LiveMint

CSPO Watch. August 2021