Palm oil is the most versatile of 17 major
oils traded in the global edible oils and fats market.
By
Albert A. Motale
Introduction
This paper is written with the sole
purpose of re-attaching some of the souls of the indigenes of Ndian diivision, Cameroon, who
have been fighting tooth and nail with the aid of foreign corporations albeit
unknowingly, to protect their selfish interests at the detriment of more than
200,000 people in the division who are living in abject poverty. While we are
quite aware that Herakles Farms cannot solve all the economic problems of the
division, any partial alleviation of poverty brought about as a result of its
establishment in the division shall suffice. The paper also brings Malaysia as
a focal point of interest, to portray to some of the Ndian indigenes, who were
opposed to having another palm plantation (PAMOL being the first in the
division) that, if Malaysia (country) can build its economy primarily around
palm plantations, I therefore see no reason why Ndian (a division) cannot
emulate and do even better, by using Malaysia as a pathway to a successful Oil
Plantation. Herakles Farms, you are welcome in Ndian division.
Oil Palm... tree of Life
Palm oil is the newest world commodity,
but it is already the target of scare-mongering individuals in Ndian division, mixing
bad science with poor knowledge, as they have tried, albeit unsuccessfully, to
drive Herakles Farms away from the division through the unsolicited help from
some foreign corporations whose hidden interest is unknown to the indigenous.
Those who would deny Malaysia and the Malaysian Palm Oil its rightful place as
an emerging or a future industrialized nation are putting out a one-sided story
about the negative effect of a similar palm plantation venture in Ndian
division, which could equally transform Ndian from a backward division to an
economic buffer zone. And by injecting fear in the minds of the uneducated
indigenes of the division who, hitherto, have looked up to them for guidance in
this Herakles Farms issue, it is an example of pandering to cowardice.
BUT:
•
Are primary rainforests really being cleared wholesale for oil palm planting?
•
Are endangered wildlife species being decimated due to habitat destruction?
•
Do all native populations agree that their human rights are being violated?
•
Is consumption of palm oil harmful?
The answers to these questions above are a
resounding No. Those who engage in propaganda against Herakles Farms have
employed unnecessarily, the fear-mongering technique whereas, money has exchanged
hands from giant corporate entities like Greenpeace to the various
environmental NGOs in the division, to help push through their corporate agendas.
What
are the alternatives for the indigenes of Ndian who do not want a palm
plantation in their backyard? And, do they have alternatives to palm oil
plantation? Do they have capital of their own to bring desired industries in
the area if Herakles Farms were to leave? We admire the courage of some of the
Ndian indigenes for fighting to preserve the rainforest as they were made to
think by organizations such as Greenpeace, which is based in America. But the
preservation of the Ndian rainforest is at whose expense?
Malaysia, the world’s largest producer of
palm oil, can answer critics and skeptics with confidence. Malaysia gained its
independence same year as did Ghana in 1957 from colonial rule but has
since transformed its economy and its
light years away from becoming an industrialized country largely as a result of
its Palm plantations, which the Ndian indigenes see as a taboo in their
backyard.
Forget the myths -
get the facts fast
(Facts check)
~In
Malaysia, oil palm plantations are mainly established on old agricultural land
or previously logged-over forest land. Planting practices, long rooted in
environmental considerations, are reaching for even higher standards of
sustainability.
~Palm oil and derived
products are channeled into worldwide industrial and commercial activities that
churn out everything from food products to bio-fuel and feedstock for
cosmetics, toiletries, industrial cleaning agents and candles.
~The plantation industry drives economic
growth. In short, this creates jobs for the poorest people, including native
populations; triggers downstream activities; and brings in revenue for national
development and stability.
~Palm oil consumption has a recorded history
of 5,000 years. Today it feeds 3 billion people in 150 countries, boosting
global food security and curbing nutrition deficiency as well as heart disease.
~The Food and Agricultural Organization and
World Health Organization have endorsed palm oil as meeting food standards
under the Codex Alimentarius Commission Program. A balanced vegetable oil is a
source of energy, and, it is free of death-inducing cholesterol and trans-fatty
acids. It is also packed with health-inducing carotenoids (a rich source of
Vitamin A and Vitamin E).
~The US Food and Drug
Administration has given its seal of approval for palm-based products sold
under the Smart Balance brand (containing up to 50% palm oil and 50% local
oils) to carry the US patented label.
~To
help increase HDL (Good Cholesterol) and improve the Cholesterol Ratio
(HDL/LDL). Palm oil is the most versatile of 17 major oils traded in the global
edible oils and fats market. About 80 % of Malaysian palm oil goes into food
uses. It is found in one out of 10 food products worldwide as it can be used
without – or only with minimal - modification.
Traditional applications
• Food uses
Palm oil and palm kernel oil are used
wholly or in blends with other oils. Look for these basic ingredients in
Frying/cooking oils, shortenings, vegetable ghee (vanaspati), margarines and
spreads, and confectionery fats. New applications include use in emulsion-based
powdered and consumer foods such as pourable margarine, mayonnaise, soup-mixes,
imitation cheese and micro-encapsulated palm oil. It is also important to
emphasize that red palm oil or red palm olein offers healthy alternatives to
conventional cooking and salad oils. It’s
the ‘golden oil’ that is doing everyone a world of good
Non-food uses
Palm oil by-products are biodegradable and
often cheaper, greener and equally-effective substitutes for materials like
Petrochemicals. They are suited to making soaps; skincare and cosmetic
products; floor-cleaning liquids and fabric detergents; candles; and
plasticizers and stabilizers for industrial processes. A proportion of Malaysian
palm oil is channeled into bio-fuel production for a clean, renewable source of
energy.
Competitive pricing
Palm oil is competitively priced because
of its guaranteed consistent supply.
Malaysia
is one of the world`s largest producers and exporters of palm oil. From its
4.17 million ha of oil palm, it produces about 15.9 million tonnes of palm oil
annually to corner the biggest share of the global export market to date. Palm
oil and palm kernel oil also contributed the highest percentage (27.5%) of
global production of oils and fats in 2006.
Palm
oil and palm kernel oil were also the most traded oils in the global oils and
fats market with a market share of 56.2 %. And of the 148.26 million tonnes of
edible oils and fats consumed, palm oil and palm kernel oil held the biggest
share (27.1%) The oil palm industry has contributed billions of ringgit
(Malaysian currency)—to the tune of RM31.8bn in export earnings to the
Malaysian economy. It is the third-largest contributor to external trade after
electrical and electronic products and crude petroleum.
Generous tree cover
Contrary to graphic descriptions, pristine
rainforests in Malaysia is not being chain-sawed round the clock for oil palm
cultivation at the expense of wildlife habitats. Some 64 % of forest, including
some of the world`s oldest virgin rainforests, remain intact despite
centuries-old reliance on agriculture and forest resources for livelihood. Add
agricultural tree cover - oil palm, rubber, coconut and cocoa - and a stunning
green expanse covers 81 % of the country`s total land mass of 32.86 million ha.
Can most of the developed world claim the same?
Generating oxygen,
not hot air
Previously logged-over land has been converted to production forestry
and agriculture: - 6.57 million ha (20% of total land mass) has been planted
with food and economic crops. Of this, 4.17 million ha are under oil palm
(about 63 %). Oil palm expansion over the last 50 years has mainly been on land
converted from rubber, cocoa and coconut cultivation. Since the 1990s, the
government has stopped new forest land from being opened up for crops including
oil palm. Only logged-over land zoned for agriculture can be used. Sustainable
Forest Management is being phased in under globally developed criteria. These
enable extraction of certified timber, while preserving the habitats of the
totally-protected Orang Utan (great ape, Pongo pygmaeus), among other wildlife
species. These are indeed better land preservation options, which the Ndian
indigenes can borrow from Malaysia and strive to live alongside Herakles Farms
as a healthy neighbor.
Closed green canopy
Higher
levels of greenhouse gases such as carbon dioxide and methane have led to
rising global temperature, which is wreaking environmental havoc worldwide.
Increased production of chlorofluorocarbons (CFCs) has depleted the ozone layer
which protects against harmful UV radiation. Malaysia`s sprawling oil palm
plantations - some 500 million trees - throw a protective green canopy over the
environment. The impact of this planted forest is incalculable.
Oxygenating the air
Like all living plants, the oil palm
absorbs carbon dioxide (CO from, and returns oxygen (O2)) to the atmosphere
through photosynthesis. But it does more! As a comparison: (a) Oil palm
released 196.8 million tonnes of O2 to the atmosphere from a mere 9.24 million
ha of total global planted area in 2006 or an average of 21.3 tonnes of O2 per
ha. In the same year, soybean released 236.5 million tonnes of O2 from a much
larger area of 92.40 million ha or an average of 2.56 tonnes of O2 per ha. (b)
From the same planted areas, oil palm absorbed 270.7 million tonnes of CO2 or
an average of 29.3 tonnes per ha, while soybean absorbed 325.2 million tonnes
of CO2 or an average of only 3.52 tonnes per ha. In short, oil palm is more
effective than soybean in cleaning up the atmosphere. If the haters of Herakles
Farms did some fact checks, like it is now known, my wild guess is that, they
will embrace Herakles Farms as an environmentally-friendly company in the
division. The bear fact of their unfriendliness to Herakles Farms largely
points to their ignorance and greed, I would think, as a good knowledge and
study of any Palm Plantation shows that the benefits of its establishment
anywhere outweigh the disadvantages.
Absorbing air pollutants and generating biomass for fuel
Studies suggest that oil palm plantations
may be more effective than rainforests in serving as carbon sinks, which are
areas of dry matter that absorb harmful greenhouse gases. Henson ?(1999) showed
that an oil palm plantation assimilates up to 36.5 tonnes of dry matter/ha/year,
better than 25.7 tonnes by natural rainforest. The study also showed that the
plantation accumulates up to 8.3 tonnes of biomass a year, higher than 5.8
tonnes in the rainforest. This biomass can be further studied to provide green
fuel such as ethanol and thus, reduce dependency on fossil fuels in future.
•
Positive effect on global warming (GWP): Another study by Melling on tropical
peat land in Sarawak shows that the peat soil ecosystem planted with oil palm
lowers the global warming potential (GWP) to 5706g CO2 m-2 y-1 compared to that
of the peat swamp forest ecosystem (7850g CO m-2 y). The data imply that oil
palm plantations on peat land have a positive effect on global warming.
• Cooling effect: With the shade that its
trees provide and humidity they help maintain, oil palm plantations cool the
air. Millions of oil palm fronds reaching skyward to protect the atmosphere
must be surely be preferred to desertification, irrigated agriculture or
unbridled industrialization as the outcome of economic development.
Living soil: Uncompromising commitment
to sustainability has nurtured technology and good agricultural practices in
Malaysia`s oil palm industry over the last century. These particularly protect
the soil, its most valuable resource.
• Higher yield, lower
strain: Malaysian
palm oil comes from the Tenera variety - a cross between the dura and pisifera
- which produces 25% more oil than others. The search continues for even more
productive cultivars, in order to supply world demand without straining natural
resources.
• Soil conservation
Steps
are taken to conserve and enrich the soil in a cycle that stretches from
planting right through replanting.
From planting to production, the oil palm
is a true friend of the earth
Erosion control
As least six species of leguminous
ground-hugging creepers are grown as cover crops to reduce soil erosion and
improve rainfall retention. This also injects up to 250kg of nitrogen into
every hectare. On steeper slopes, erosion is minimized through contour terracing
and using silt pits to trap soil. Lining terraces with pruned fronds helps
retain rainfall. It allows seepage into the ground and reduces the velocity of
run-off during heavy rain.
‘Zero burning policy: Replanting
traditionally involved burning the felled palms at the end of their 25-year
productive cycle. Trees are now mechanically felled, then windrowed, shredded
and allowed to decompose on site. This recycles 90-100 tonnes of organic matter
per hectare.
Natural fertilizers: Biomass like pruned
fronds, empty fruit bunches (EFB) and old palm stems are an excellent source of
fertilizer - high in potassium, nitrate, magnesium, phosphate and other soil
nutrients - and also enrich soil organic matter and humus. Some 35 million
tonnes of fronds are recycled each year.
Moisture retention: Water used in processing
palm fruits - palm oil mill effluent (POME) - is biologically treated and
returned to the land for its fertilizer and moisture benefits. The soil filters
the organic matter and nutrients, returning clean water to the ground. POME,
combined with EFB, produces compost. Used in sufficient amounts, it replaces
66% of chemical fertilizers otherwise required.
Caring for the eco-system: It is common practice for
agricultural farmers in tropical environments to take into consideration the
presence of highly dynamic eco-system present in the soil so as to device
methods of preservation. The Malaysian oil palm industry has developed
eco-friendly practices over the last century. Ndian oil palm plantations can
adopt the Malaysian system as well.
Reduced herbicide use: Blanket spraying of
herbicides is discouraged as it can result in erosion under the intense
tropical rains. The resulting loss of fertility is expensive to remedy with
fertilizers. Any spraying is confined to a small circle at the base of the palm
and in strips along planting rows or harvesting paths. This covers about 25 %
of the planted area. If sheep, cattle, goats or deer are reared, weeds are
cleared naturally.
Integrated Pest Management
(IPM)
Rats,
bagworms, nettle caterpillars and Oryctes rhinoceros beetles can seriously
reduce yields and quality of palm oil. However, plantations have chosen a
balanced IPM solution over the use of chemical pesticides. Barn owls and snakes
check rodents, while predatory insects, parasitoids and entomo-fungi eliminate
leaf-defoliating insects.
• Dealing with diseases
This
is crucial, particularly to prevent Ganoderma basal stem rot which can wipe out
over 50 % of an oil palm stand through severe infestation. Eco-friendly steps
include proper deboling and shredding of oil palm debris during replanting,
timely removal of infected palms, and inoculation of seedlings with arbuscular
mycorrhizal fungi.
Innovative recycling
New
uses have been found for residues and waste materials from cultivation. These
are now renewable raw materials for value-added commercial products:
-
Pulverized
fronds, trunk tissues, palm kernel cake and EFB go into animal feed and paper
production.
- Palm trunks are sawn up as
lumber for furniture.
- Fiber from trunks and
fronds is used in making medium density fiber board.
- EFB, fiber and palm shell
are burnt to generate steam and electricity for palm oil mills, and reduce use
of fossil fuel.
· Surplus energy is channeled
to the national electricity grid.
Barn Owl
The
1992 Earth Summit in Brazil formulated the 3P concept- Profit, People and Planet
- for sustainable development. This simply means managing competing needs
without depleting natural resources, is vital. Malaysia`s oil palm industry is
striving to do just that. And the Ndian indigenes can urge Herakles Farms to
adopt this sustainable development method as well rather than to adopt the
hostility approach.
Profiting from productivity
Is
Malaysian oil palm a sustainable commodity? Here is a test of the main
parameters:
• Economic land use
Oil
palm is the world’s most efficient oil-bearing crop in terms of land
utilization, efficiency and productivity. A single hectare produces up to 10
times more oil than other oil seeds. Oil palm yields an average of 3.74 tonnes
of oil per ha/year (projected to rise to 6 tonnes within the next decade)
compared to soybean (0.38 tonnes/ha/year); sunflower seed (0.48 tonnes/ha/year)
and rapeseed (0.67 tonnes/ha/year).
Profit, people, planet - palm oil has
the answers
With
only 0.4% of the world`s population, Malaysia produces 11% of the global
vegetable oils and fats output and accounts for 26% of the export trade in oils
and fats. All this comes from a mere 1.84 % of the 231 million ha under global
oilseeds cultivation. And this is done without farming subsidies as in Europe
and the US. Income from a hectare of Malaysian oil palm, based on 2005 data,
equals about 1,600/year, compared to 1,400 for agricultural crops in the UK -
of which 400 is from EU subsidy.
• Energy-efficient
production
One
measure of efficiency and greenness of an agricultural system is its energy
balance, derived from output-to-input ratio. Oil palm uses less agrochemicals
(fertilizers and pesticides) and fossil fuel to produce a tonne of oil than
other oilseeds. It therefore has an efficient energy ratio of output to input
at 9:6, compared to rapeseed (3:0) and soybean
(2:5).This
further leads to reduced emissions and pollutants which in turn preserves
water, soil and air quality.
Providing for people
The
perennial conflict in development comes down to a toss-up between the interests
of Man and Nature. Indeed, sustainable oil palm cultivation hosts a win-win
situation.
• Upgrading of livelihood
A
surge in oil palm planting in Malaysia from the 1980s corresponded with a
higher standard of living achieved through direct and indirect employment. The
sector absorbs some 860,000 workers - including interested native peoples - whose
employment rights and related needs are covered by law. Plantations have become
focal points for rural communities. They provide hands-on job training that
uplifts the skills of workers with low education. The populations also have
access to free housing, clean water, electricity, telephones, health services,
schools and places of worship.
• Economic and social benefits
Malaysian
plantation management is highly developed, working with technical know-how
enhanced through an industry-funded R&D system. Even smallholders have
access to 17 technologies via an extension service provided by the Malaysian
Palm Oil Board and by experts from estates participating in a nucleus
partnership system. Palm oil processing has triggered downstream industrial,
commercial and retail operations in the food and oleo chemical sectors. This
has had a positive knock-on impact on jobs and wealth creation. Billions of
ringgit (RM28.6 bn in 2005) earned from trade in palm oil are also channeled to
economic development and social well being.
Poverty
alleviation
In 1956, the Malaysian government set up
the Federal Land Development Authority (Felda) to reduce rural poverty through
planting of economic crops, including oil palm. Felda develops land schemes,
adds infrastructure and amenities, distributes 4ha-plots to landless small
farmers, and provides management services as they work towards ownership. The
scheme has grown to cover 853,000 ha and over 100,000 settlers and their
families. Unsurprisingly, it has caught the eye of countries seeking a
successful model of poverty alleviation.
• Global food security
Exports
of affordable, healthy, nutritious and high-yielding Malaysian palm oil now
feed some 3 billion people in 150 countries. Staving off looming global hunger
is a matter of urgency as populations grow and land runs out for food crops.
Protecting the planet
The
oil palm is an eco-friendly crop by its very nature.
• Criteria for sustainable
production
Oil
palm growers and processors have joined investors, bankers, traders, retailers
and relevant NGOs in a voluntary
Roundtable on Sustainable
Palm Oil
It
has approved criteria and principles for sustainable production and use of palm
oil based on economic, social and environmental viability. Traceability along the
palm oil supply chain and certification are the ultimate targets.
• Renewable fuel source
Part
of palm oil output is being converted to bio-fuel, a renewable and green
alternative to fossil fuel. Malaysia is pilot-testing B5, a blend of 5% refined
olein and 95%diesel, in vehicles. Commercial production will begin by end 2006.
As the lowest priced feedstock, palm oil could tap Asia`s sizeable bio-fuel
market as countries like Japan, Singapore, South Korea, China and India have
ratified the Kyoto Protocol 2005. This requires the first targets in reduction
of greenhouse gas emissions - including carbon dioxide - to be achieved by
2012.
• A home for life
Oil
palm plantations are alive, promoting more biodiversity in and around them than
cereal, vegetable and other short-term cropping systems. Typically, an estate
is home to 268 species of flora and fauna - think multitudes of microbes,
insects, arthropods, reptiles, fish, birds (resident and migratory), small
mammals, and even the relatively rare leopard cat
Felis bengalisis
.Almost
100 species of plant life thrive because of good agricultural practices that
include planting of agro forestry species (teak and bamboo). Oil palm areas
located on jungle fringes help preserve wildlife by maintaining riparian
reserves along rivers and oxbow lakes. These conserve biodiversity, control
erosion and serve as wildlife corridors for accessibility to habitats.
• Fund for biodiversity
In
May 2006, the Malaysian Palm Oil Council (MPOC) announced a revolving fund of
US$5.5 million. It will support efforts to enhance biodiversity conservation
related to palm- oil production worldwide. Industry players contributed half
the sum, with the balance made up by government agencies and the public. MPOC
will manage the fund and match contributions, up to US$2.7 million. This opens
the door to scientists, researchers, conservationists, environmental experts
and NGOs to submit proposals. The fund will support related studies and
activities; sustainability measures in plantations; and conservation efforts.
How the
Ndian People could leverage Palm Oil companies
In
conclusion, the Oroko people should begin to look at ways to transform our
lands into a new Malaysia with the opportunities derived from palm oil. Most of
our people are oblivious of the fact that, a ton of palm oil is even more
expensive than a ton of crude oil. If our young entrepreneurs especially those
in the diaspora could begin to seek means and ways to partner with investors
who can invest on the by-products of palm plantation, the sky will be our
limit. It is only massive investments ventures in our area such as Herakles
Farms that the indigenes can rely on to transform our poverty-stricken
environment, our people into a new bourgeoisie class tomorrow.
Also, even though some Ndian indigenes had
expressed hostility towards Herakles Farms and against the government of
Cameroon primarily because they did not want another palm plantation in the
division (since there is PAMOL and CDC already in their division) and have
expressed their desire for a new and different kind of industry in the division,
it definitely defeats their initial argument of protecting and preserving the
rainforest. Knowing now that their desire to have another type of companies is
defeated and similarly their fight to protect Greenpeace interest to have
failed, we encourage them to be more friendly to Herakles Farms because there
are different companies that may sprout out of the palm oil? As an indigene of
Ndian division, my appeal to my people is to put aside unnecessary emotional
outbursts or considerations based on deceitful information and concentrate on
issues that will advance the welfare of mankind and every Ndian indigene,
especially as we do not have the capital to create the necessary industries
that we want and the government has refused to listen to our plea of
sustainable development until the coming of Herakles Farms.
It would have been nice and worthwhile for
my people to sign some form of agreement with Herakles Farms to ensure that, as
production reaches an agreed peak, the company would start setting up other
palm oil derivative companies. This is how civilized people have progressed in
the world by communicate their desires and imploring civility through the force
of their argument---not through unnecessary emotional outburst, which is reason
why we (Ndian indigenes) have stagnated while others, similarly placed, have
progressed.
It is also important for the Ndian
indigenes to understand that, for a society to make progress, expert opinions
must be sought for, so that they could inform or guide future decision-making
from the wild noises that fought unsuccessfully to drive Herakles Farms away
from the division. These different experts must discuss their different
findings and present any such merits and demerits of such findings and/or
opinions to a knowledge-seeking Council of the People, who should then act on
their recommendations. Noisy and uninformed indigenes should only be allowed to
voice their opinions because democracy demands that they’d be heard. Nothing
else!
Now that Herakles Farms is back in our
backyard, the company should be allowed to do business as it intends to provide
the Ndian indigenes with jobs, link up the affected area passable roads,
provide scholarships to indigenes amongst other benefits, and more importantly,
improve the lifestyle of the natives while as with any other corporate entity,
it should make profit as well to ensure long and sustainable periods in our
backyard.
Part of this article was
culled from http://www.mpoc.org.my/upload/Tree_of_Life.pdf
The purpose of this article is to illustrate to the Oroko people of Ndian division
that Herakles Farms and its Palm Plantation can be a viable partner in their
development rather than what some wish to portray them---as enemies to
development.
