scholarly journals Maximizing Crude Palm Oil Production in Malaysia: A Search for an Optimal Policy Using System Dynamics and Genetic Algorithm Approach

Author(s):  
Norhaslinda Zainal Abidin ◽  
Shri Dewi Applanaidu ◽  
Mohd Zabid M. Faeid

Palm oil industry in Malaysia is experiencing a stagnant crude palm oil (CPO) production and has been lagging as compared to Indonesia. This situation can jeopardize Malaysia’s position in world palm oil marker since Malaysia needed to secure its export revenue and fulfilling increasing demand of palm oil both locally and globally in the future. The factors that influence the CPO production are many. Among others are the scarcity of plantation area, labour shortage, and demand from palm-based biodiesel industry. This study presents an integrated of system dynamics (SD) and genetic algorithm (GA) (SD-GA) model to find the optimal policy to improve CPO production in Malaysian palm oil industry. SD offers the platform to evaluate and to test policy while GA facilitate the process of searching the best solutions to achieve the maximum CPO production in 2050. The proposed model has produced five optimal values for five policy variables namely average replanting rate, mechanization adoption rate, and biodiesel mandate in transportation, industrial and other sectors respectively. The best solution suggested that CPO replanting rate need to be increased to 251743.5 hectares per year to decrease the accumulation of ageing area by optimizing all these policy variables. This study is expected to help policy makers in designing related policies and drawing the road map towards improving CPO production in Malaysian palm oil industry.

2012 ◽  
Vol 17 (6) ◽  
pp. 781-794 ◽  
Author(s):  
Amir Hossein Montazer Hojat ◽  
Khalid Abdul Rahim

AbstractThis study analyzes the costs borne by Malaysian palm oil mills (POMs) in order to reach standard levels. A number of studies have been conducted on Malaysian palm oil mills; however, none has obtained the marginal abatement cost (MAC) through an estimated total cost function. More particularly, as far as inflation is concerned, the effluent-related fee and effluent charge specified have not been revised within the past two decades. In addition, to our knowledge, there has not been any study comparing MAC to the mills of the two different methods of disposal, namely watercourse and on land. Our results show that, to force POMs to meet the standard, the effluent charge must be set higher, equaling the MAC. While the results show the existence of economies of scale in abatement activity, setting the effluent-related fee equal to the MAC may encourage mills to further abate their water pollution.


2015 ◽  
Vol 659 ◽  
pp. 652-658 ◽  
Author(s):  
Supachart Pakpoom ◽  
Kruakaew Prarop ◽  
Swasdisevi Thanit ◽  
Wongsarivej Pratarn

Hydrocyclone is novel optional equipment that can be applied in solid separation for crude palm oil process because of its advantage over the existing technology. Hydrocyclone is a cost-effective, continuous tool which is easy for maintenance. The objective of this research is to investigate the effect of vortex finder, inlet, and body diameter of hydrocyclone on separation efficiency of palm meal from crude palm oil by using PVC resin as the solid phase and biodiesel B5 as the liquid phase. All parameters were simulated using computational fluid dynamic, CFD. In addition, the inlet diameters were tested experimentally. The feed flow rates in both simulation and experiment were varied from 4 - 14 L/min at the constant flow ratio of 0.2. Experimental design was clearly specified. The vortex finder diameters of 3.8, 4.8, and 5.8 mm were also simulated as well as the inlet diameters of 5, 6, and 7 mm. Three sizes of body diameter of 30, 40, and 50 mm were selected as the example sizes. According to the simulation results, the smaller vortex finder, inlet, and body diameter of hydrocyclone revealed the higher separation efficiency.


2021 ◽  
Vol 56 (2) ◽  
pp. 405-418
Author(s):  
Dyah Wulan Sari ◽  
Haura Azzahra Tarbiyah Islamiya ◽  
Wenny Restikasari ◽  
Emi Salmah

Indonesia has become the largest producer and exporter of crude palm oil commodities in the world. Therefore, the production of CPO turns out to be very greedy for land. There are any problems in production CPO, therefore the study aims to develop a conceptual framework of the source of output growth, whether driven by input or productivity growth, and to implement this concept by investigating the source of output growth in the crude palm oil industry in Indonesia. The investigation applies firm-level panel data and follows a quantitative approach using general method of moments to estimate the production coefficients and calculate the input and productivity growth. The result shows that the output growth of the crude palm oil industry does not lead in productivity growth driven. It seems to be driven by input growth, not by productivity growth. Since growth is still driven by input, the crude palm oil industry will be less competitive in the world market. The high world demand for crude palm oil commodities from Indonesia must be met by using more efficient input factors, optimizing production scale, and supporting technological progress. The government, therefore, must have strategies that are more competitive in the global market.


Author(s):  
Indah Rizkya ◽  
Khalida Syahputri ◽  
Rahmi Meilina Sari ◽  
Erwin Sitorus ◽  
Ikhsan Siregar

2015 ◽  
Vol 1125 ◽  
pp. 322-326
Author(s):  
J. Nor Ruwaida ◽  
M. Rashid ◽  
M.M. Syahirah

The remarkable growth of palm oil industry in Malaysia is undeniable. Approximately, one million ton of crude palm oil is produced by the industry in a month, thus put Malaysia as one of the largest producer in the world. Most of the mills are operated on cogeneration system, where the biomass residue of palm fibre and shell are used as fuel in the mill boilers mostly to generate steam and also electricity. This practise however produced considerable amount of particulates in terms of fly ash emitting to the environment. Thus, this study is to evaluate the particulate emission from five palm oil mill boilers with steam capacity ranging from 17-35 tonne/h. The results showed that the average particulate emission concentration exiting the stack was 2.21±1.20 g/Nm3 (corrected to 7% oxygen concentration), ranging from 0.42 to 3.77 g/Nm3. The study suggests that the fuel feed rates of fiber and shell was one of the parameters affecting the emission concentration in the boiler. Particulate morphology were also being presented in this study.


Author(s):  
Nazaruddin Matondang ◽  
Irwan Budiman

Komoditas minyak kelapa sawit merupakan komoditas unggulan di Indonesia dan 60% produk minyak kelapa sawit atau Crude Palm Oil (CPO) telah diekspor. Indonesia menjadi negara terbesar yang mengekspor CPO dan menguasai sekitar 62% pangsa pasar dunia. Namun, Indonesia menghadapi hambatan dalam melaksanakan ekspor CPO sehingga menyebabkan pelemahan neraca perdagangan dalam beberapa tahun terakhir. Penelitian ini dilakukan untuk mengetahui hambatan yang terjadi dan memetakan rantai pasok dalam proses produksi CPO, serta menganalisisnya. Dalam penelitian ini digunakan metode Food Supply Chain Networking (FSCN) yang dilakukan terhadap 24 perusahaan. Pengumpulan data primer diperoleh melalui informasi secara langsung, sedangkan data sekunder diperoleh dari dokumen/ publikasi/ laporan penelitian dari dinas/instansi maupun sumber data pendukung lainnya. Selanjutnya data diolah dan dilanjutkan dengan metode Porters Diamond. Hasil penelitian menunjukkan bahwa terdapat beberapa hambatan dari regulasi dan adanya kampanye negatif, serta peningkatan biaya impor. Penyebaran perkebunan dan teknologi yang tidak merata dalam negeri juga berkontribusi terhadap menurunnya ekspor produk ini. Pemerintah Indonesia telah mengambil inisiatif untuk menangani hal tersebut, yaitu dengan memenuhi beberapa syarat yang diajukan oleh negara-negara importir berupa hak paten, sertifikasi dan jaminan, bahkan dengan cara hilirisasi produk minyak sawit. Berdasarkan hal tersebut dan didukung dengan permintaan CPO yang terus meningkat, diperkirakan CPO akan terserap baik di pasar dalam negeri maupun pasar luar negeri.   Palm oil is a leading commodity in Indonesia and 60% of Crude Palm Oil (CPO) products have been exported. Indonesia is the largest country exporting CPO and controlling around 62% of the world market share. However, Indonesia faces obstacles in carrying out CPO exports, causing a weakening of the trade balance in recent years. This research was conducted to determine the obstacles that occur and map the supply chain in the CPO production process, and analyze it. In this study the Food Supply Chain Networking (FSCN) method was conducted on 24 companies. Primary data collection is obtained through direct information, while secondary data is obtained from documents / publications / research reports from agencies / agencies and other supporting data sources. Then the data is processed and continued with the Porters Diamond method. The results showed that there were some obstacles from regulation and the existence of a negative campaign, as well as an increase in import costs. The uneven distribution of plantations and technology in the country also contributed to the decline in exports of these products. The Indonesian government has taken the initiative to deal with this, namely by fulfilling several conditions proposed by importing countries in the form of patents, certifications and guarantees, even by way of downstreaming palm oil products. Based on this and supported by the increasing demand for CPO, it is estimated that CPO will be absorbed in both the domestic and foreign markets. 


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