MINISTER OF PLANTATION INDUSTRIES & COMMODITIES ANNOUNCES
MALAYSIAN PALM OIL CONSERVATION FUND (MPOCF)

April 13th (Thursday), 2006 - YB Datuk Peter Chin Fah Kui, Plantation Industries & Commodities Minister today announced the setting up a Malaysian Palm Oil Conservation Fund (MPOCF) which aims to help protect wildlife and biodiversity conservation during a working visit to the Malaysian Palm Oil Promotion Council (MPOPC). The setting up of the fund reflects a conscious effort by the Malaysian palm oil industry to support viable conservation efforts and programmes that are expected to be beneficial to both the industry and society. While the main aim is to facilitate conservation education and programmes on endangered species like the highly protected orang utan in Malaysia, the green fund will also be used to address and manage various other biodiversity conservation efforts in the country. According to Datuk Peter Chin, "The establishment of the Malaysian Palm Oil Conservation Fund demonstrates the industry's commitment to manage resources sustainably in order to not only meet the current development needs but also of the future generation". He added that the fund will further encourage and promote initiatives of the Malaysian oil palm plantations in conservation and sustainability activities which will enhance the sustainable production of palm oil. Similarly, the fund will be utilized to work closely with NGOs in similar areas to achieve the objectives of enhancing conservation, biodiversity and sustainability.

The green fund which mainly reflects a unique partnership between the oil palm industry players and MPOPC will initially target a sum of RM20 million, of which RM10 million will be contributed by the Malaysian Palm Oil Industry through MPOPC while the rest will be sourced from other stakeholders. The Fund will be operated on the principal of matching grant where MPOPC will match every Ringgit of contribution by other donors up to a maximum sum of RM10 million to sustain a revolving fund size of RM20 million. The grant will be accessible to non-governmental organisations, as well as to scientific and academic institutions.

Malaysia is currently the largest producer and exporter of palm oil in the world. The country produced 15 million tones of crude palm oil (CPO) last year compared to 14 million tones in 2004. The total export revenue of oil palm products in 2005 was RM28.6 billion. The country today enjoys its economic prosperity and development through a strong foundation set by the industry and contribution in terms of export earnings and employment . It has long put into place guidelines , research, industrial and environmental standards that provide a safe, high quality trans free oil in a manner that supports the local economy, preserves the environmental resource base and is economically viable. Practices are constantly reviewed to ensure that best agricultural and management practices evolve in line with new research findings and international standards. The Malaysian oil palm industry has been responsible and has responded vigorously to various issues in the past. It will continue to respond similarly to known needs for biodiversity conservation and other environmental concerns and work closely with the various stakeholders .

During his visit to MPOPC, Datuk Peter Chin also launched an industry newsletter titled Malaysian Palm Oil FORTUNE (MPO FORTUNE). According to Datuk Peter Chin, "The monthly newsletter produced by MPOPC is tailored to meet the growing need for information and latest developments occurring in the oils & fats markets worldwide. The newsletter will customize information to address industry needs". Complimentary copies will be distributed to all industry members while an electronic version will also be made available on MPOPC's website. Readers can subscribe to a free copy of the newsletter by logging to MPOPC's website at www.mpopc.org.my .

Datuk Peter Chin further announced a name change for the Malaysian Palm Oil Promotion Council (MPOPC) to Malaysian Palm Oil Council (MPOC). The name change to MPOC will reflect a wider responsibility of the Council in various aspects related to promotion , marketing and even branding of Malaysian palm oil . This is in line with the Council's strategy to create a unique identity for Malaysian palm oil globally. The name change will also be consistent with other related industry bodies such as Malaysian Palm Oil Association (MPOA) and Malaysian Palm Oil Board (MPOB).

Malaysian Palm Oil Council (MPOC) was formed in 1990 to carry out the marketing and promotional activities for Malaysian palm oil globally. The Council has set up a network of nine offices all over the world mainly in China (Shanghai), India (Mumbai), Pakistan (Lahore), Bangladesh (Dhaka), Middle East (Dubai and Cairo), Europe (Brussels), Africa (Durban) and Americas (Los Angeles) to support, promote and venture into new areas for the industry.

For further information, please contact,
Tan Sri Datuk Dr Yusof Basiron at e-mail yusof@mpoc.org.my or
Tel : 03-7806 4097 or Fax: 03-7806 2272.