• Bloomberg reported that a Malaysian firm is developing a harvesting tool for oil palm that could accelerate automation in an industry that is known not only for its gruelling conditions but is also suffering from a chronic labour shortage. The machine dubbed “HARVi” is the first palm tree cutter with digital intelligence and precision harvesting software. Digital sensors can detect the location of the worker and the tree as well as whether the worker is cutting fruit or pruning fronds. The data can be accessed through a mobile app, eliminating time-consuming manual tasks such as the counting of fruit bunches. The “HARVi” is expected to be ready for sale by April 2022. The machine allows workers to harvest fruit bunches up to 20 feet high compared to 12 to 14 feet currently.

• Bloomberg cited the Solvent Extractors Association of India as saying that the India government should allocate 50bil rupees (US$656mil) in its 2022F/2023F budget to help farmers increase the production of oilseeds, including rapeseed, peanuts and soybeans. Tax incentives should be given to companies that are helping growers to boost output. Imports of refined edible oils should also be restricted and overseas purchases of soap noodles should be curbed. The effective import duties on crude edible oils (including rapeseed oil) should be uniformed at 5.5%.

• Bernama said that India imported 539,639 tonnes of palm oil in November 2021, of which 46.6% were supplied by Malaysia. According to data released by the Solvent Extractors Association of India, the country imported 244,505 tonnes of CPO and 7,500 tonnes of RBD palm olein from Malaysia in November. India’s edible oil imports in November totalled 1.13mil tonnes, 11% more than October’s volume.

• S&P Global Platts quoted industry experts as saying that the Brazilian soybean crushing volume in 2022F is unlikely to slacken despite the National Energy Policy Council’s decision to cut next year’s biofuel content level in diesel from 13% (B13) to 10% (B10). According to S&P Global Platts, Brazil, which was largely at B10 level in 2020/2021E, crushed 46.75mil tonnes. In 2021E/2022F, soybean crushing is forecast to be one million tonnes higher at 47.7mil tonnes.
• The Malay Mail reported that the Malaysian Palm Oil Association (MPOA) has launched a charter that affirms the commitment of its members to respect labour rights, adopt responsible recruitment practices and provide good working and living conditions for workers. MPOA said that the commitments in the Responsible Employment Charter were based on several guidelines and framework, which include the United Nations Guiding Principles on Business and Human Rights Framework, the International Labour Organisation Declaration on Fundamental Principles and Rights at Work. It also includes guidelines from the International Recruitment Integrity System, which was developed by the UN International Organisation for Migration.

Source: AmInvest Research - 20 Dec 2021