Malaysia seeks $330 million for palm oil replanting over next 5 years
FILE PHOTO: A worker transports a trailer loaded with harvested oil palm bunches to a commodity buying centre in Pontian, Malaysia April 24, 2025. REUTERS/Hasnoor Hussain/File photo
KUALA LUMPUR :Malaysia's commodities ministry said on Tuesday it would seek to boost the allocation for palm oil replanting to 1.4 billion ringgit ($331 million) under a new five-year economic plan.
The funds, from 2026 to 2030, will help increase the replanting rate, especially among smallholders, Plantation and Commodities Minister Johari Abdul Ghani told parliament.
This year the government is providing a matching grant with an allocation of 100 million ringgit ($24 million) for smallholders.
Replanting averaged about 2 per cent last year, falling short of the government's target of 4 per cent, Johari said.
"When replanting is not being taken care of, it will affect our future exports," he said, with production also being hit.
($1=4.2250 ringgit)
