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PETALING JAYA: Sabah’s palm oil production could be cut in half, dropping to 300,000 tonnes a month under the conditional movement control order, according to plantation owners.
The Malaysian Property Owners Association (MEOA) told Reuters that palm oil mills previously operated up to 22 hours a day during the peak production season from September to January.
Under the CMCO, hours of operation have been reduced to 12 hours from 6 a.m. M. At 6 p. M., Which can create a “huge accumulation”.
Bunches of palm fruits that are not processed immediately after harvest can be left to rot, subsequently reducing yields.
“The perishable nature of the crops will have disastrous consequences for producers, especially the many small farmers in Sabah,” the MEOA news agency reported citing.
Coupled with worsening labor shortages and wet weather, production from Sabah, the county’s largest palm oil producer, warned MEOA “could cut the state’s production in half.”
The state produces five million tons of crude palm oil per year, which represents 25% of the national production.
Reuters said MEOA and the Malaysian Palm Oil Association are calling on the state government to lift the restrictions.
MEOA concerns arise just as the Sabah government recommends that the National Security Council extend the CMCO in the state, as it was still recording a high daily number of new Covid-19 cases.
The statewide CMCO was imposed on October 13 and was scheduled to end on October 26.
