Palm Oil may be in trouble

The Edge Malaysia weekly magazine also reported that the EU may have regulation that would effectively stop shipments of palm oil based products. The chances are notably slim, but that just illustrates the dependencies Malaysia has on foreign countries.

Like I said before, we need to have the ability to divert our own palm oil feedstock supply into the local market. Our government hasn't been able to initiate effective biodiesel policy. We need the downstream infrastructure to support the palm oil industry. We need to be able to use our own palm oil.

Politicians need to stop jockeying for votes and lining their pockets and make intelligent economic decisions for Malaysia. Not only that, they should implement it fast as well. The downstream alternatives are lacking and if a demand shock such as the US or EU stops importing biodiesel, Malaysia will be in trouble. Malaysia is such an advanced country, but we lack the foresight compared to a country such as lower ranked Brazil which has their infrastructure in place.