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3:52pm 09/12/2021
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Loss of 1.3m tons of oil palm FFBs per month due to labor shortage

KUALA LUMPUR Dec 8 (Sin Chew Daily) — About 1.3 million tons of oil palm fresh fruit bunches (FFB) are estimated to have gone to waste each month due to a shortfall of 25,471 workers in the plantation sector.

Deputy Minister of Plantation Industries and Commodities Datuk Seri Dr Wee Jeck Seng said August figures showed that the sector was in an acute shortage of labor to harvest oil palm.

Based on the estimate of a worker collecting up to two tons of FFBs per day, about 50,942 FFBs have been left unharvested daily.

Calculated based on 26 working days a month, an estimate of 1.3 million tons of FFBs are not harvest a month, or 15.9 million tons a year, due to shortage of workers, he said in reply to a question by Nga Kor Ming in Dewan Rakyat on Tuesday.

Based on 20% average oil extraction rate and the average price of RM4,555 per ton for crude palm oil, the loss would amount to RM14 billion a year, he added.

The estimated loss increased 56% and over 100% compared to 2020 and 2019, when the loss due to labor shortage was estimated at RM9 billion and RM6 billion respectively.

To arrest the loss, the ministry is working on recruiting more foreign workers to address the labor shortage problem.

Meanwhile, the government has urged the operators to reduce dependence on labor by switching to machinery.

Wee said minister Datuk Zuraida Kamaruddin had visited Indonesia on the recruitment of more workers for the plantation sector.

Dr Wee also said the ministry would promote Malaysian Palm Oil Green Conservation Foundation (MPOGCF) by collaborating with local and foreign experts to meet the targets.

As of July, MPOGCF received RM8.02 million allocation to be used to implement projects and plans.

The projects and plans under MPOGCF have been affected by the COVID-19 pandemic.

So far,RM726,078 has been spent on wildlife conservation and rescue.

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