The Oil Palm

Blogging Live from the 7th Global Oils & Fats Forum, USA: GOFF 7: Palm Oil Ideal for Addressing Demand Amid Shortage of Arable Land

Speaking at the 7th Annual Global Oils and Fats Forum, Mr Siegfried Falk, of Oil World, reported that the vegetable oil sector is entering into a new era for the industry, as constraints on arable land has reduced the ability for producers to meet ever escalating demand for oils/fats.

Driven largely by growing affluence and populations in the developing world, vegetable oil producers are for the first time unable to meet the increasing demand with rapid agriculture expansion. For instance, Malaysia’s commitment to conserve over 50% of its forests requires any future agriculture expansion to be limited to 2-3% of the country’s available land.

Palm oil’s land efficiency and low-cost of production make the crop ideal for production on limited available land.