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05 - 11 Apr 2021
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POINTERS ON THE PRICE TRENDS
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POINTERS
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Malaysian Palm Oil Industry Outlook and Biodiesel Mandates
Datuk Dr. Ahmad Parveez Hj. Ghulam Kadir

Datuk Dr. Ahmad Parveez is currently the Director General of Malaysian Palm Oil Board (MPOB). He was appointed as Fellow of Academy Science Malaysia in 2016 and Member of National Biosafety Board (2018 – 2022). In July 2021, he was appointed as a Member of the Science Council of Malaysian Agricultural Research & Development Institute (MARDI). He sits on various other Boards; Board of Trustee of Malaysian Palm Oil Council (MPOC, 2019 -2022), Board of Trustee of Malaysian Palm Oil Certification Council (MPOCC, 2019 - 2023) and Board of Trustee of Institute of Malaysian Plantation and Commodities (IMPAC). Datuk Dr. Ahmad Parveez was previously the Chairman of Genetic Modification Advisory Committee under the National Biosafety Board (GMAC, 2010 – 2018). Recently, Datuk Dr. Ahmad Parveez was appointed as an Adjunct Professor in the Department of Biological and Agricultural Engineering, Faculty of Engineering, University Putra Malaysia (UPM). He is also very active in various professional societies including as the President of International Society for Oil Palm Breeders (ISOPB), Chairperson for the Asian Section of American Oil Chemists’ Society (AOCS) and Board Member of The International Society of Biocatalysis and Agricultural Biotechnology (ISBAB).

Datuk Dr. Ahmad Parveez was born in Taiping, Perak and obtained his secondary education at Sekolah Menengah King Edward VII, Taiping. He graduated with Bachelor of Science (UKM) in Genetics, Master of Science (UKM) in Molecular Genetics and a PhD (UPM) in Plant Genetic Engineering. He has 32 years of experience in Plant Molecular Biology, Genetic Engineering and Biosafety. He developed world first transgenic oil palm in 1997. His interest is in genetic modification of oil palm, biosafety of living modified organisms and oil palm sustainability.

He has obtained a number of prestigious awards both locally and internationally. He has 17 patents filed and six of them have been granted. He has authored and co-authored almost 100 papers in refereed journals and more than 250 conference papers.

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The year 2019 had indeed been a good year for the Malaysian oil palm industry with improvements have been recorded in many key performance indicators such as crude palm oil (CPO) production, exports and palm oil stocks. The beginning of 2020 witnessed the CPO production in January significantly lower than that of January 2019. However, the production was catching up hence narrowing the production gap year on year. The year 2020 also witness the spread of the COVID-19 pandemic which has changed the landscape of the global economy. COVID-19 pandemic is disrupting some activities within the supply chain in the palm oil industry, of which exports were among the most affected segments due to changes in consumer spending behaviour resulted from the pandemic. For the first four (4) months of 2020, Malaysian palm oil industry recorded lower exports. The average CPO price during that period was higher than that of last year. However, the prices were on the downward trend due to unexciting demand and this had caused piling up in stocks. The pandemic not only disrupt the external demand for palm oil, but also affect demand for biodiesel. Lacklustre in Brent crude oil prices which worsened by the pandemic has widened the price gap between palm biodiesel and petroleum diesel. Consequently, this creates an unfavourable situation for discretionary biodiesel usage. This paper will further provide the details of the performance of the Malaysian oil palm industry for the first five months of 2020, covering all the above-mentioned issues as well as the expected development for the remaining 2020.
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