El Niño Pressures Malaysia’s Palm Oil Sector

KUALA LUMPUR – El Niño conditions are putting strain on Malaysia’s plantation sector. Kenanga Research predicts a 4% decrease in palm oil production by 2027. At the same time, increasing fertiliser and labour costs are likely to eat into plantation margins, while prolonged dry weather and haze threats are putting more focus on fire control, water-table management, and zero-burning policies. The projection underscores the growing need for plantation operators to strike a balance between productivity, cost management, and environmental sustainability. 

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(Source: The Star)

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