Three agreements on palm oil and rubber will be signed during a trade mission to promote Malaysia’s palm oil, rubber and timber in China, said the Primary Industries Ministry.
The first memorandum of understanding (MoU) between the Malaysian Palm Oil Board and Tsinghua University is on promotion of Malaysian biofuel in the republic while the second MoU between the Malaysian Rubber Board and Hainan State Farms Investment Holdings Group Co. Ltd is on collaboration in rubberised bitumen road technology and rubber tapping automation and mechanisation.
The third MoU will be signed by Sime Darby Plantation Bhd and China National Cereals, Oils and Foodstuffs Corporation (COFCO) Group on technical development on further downstream application for palm oil and palm-based products in China.
The signing of the three MoUs will be witnessed by Prime Minister Tun Dr Mahathir Mohamad during his five-day official visit to China from today till Aug 21.
Primary Industries Minister Teresa Kok, who will be part of the delegation, will then lead an economic, promotion and investment mission in Beijing and Guangzhou from Aug 21 till 24 to promote Malaysia’s commodities.
The trade mission aims to explore market and investment opportunities, industry collaborations between the private sectors of both countries to further strengthen trade and investment as well as to facilitate trade and address trade and investment issues.
The minister is expected to have several high-level bilateral discussions including with China’s Minister of Commerce Zhong Shan, to discuss possible collaboration to promote joint investment in the palm oil and rubber industry.
She will also be meeting China’s Minister of General Administration of Customs Ni Yuefeng to discuss joint efforts to facilitate the export of Malaysian palm oil to China and formulate mechanisms related to food quality or safety risk.
In addition, she will also attend a networking dinner with Chinese Nutrition Society president Prof. Dr. Yang Yuexin where they will discuss promoting the nutritional value of palm oil in the Republic.
The agricommodity between Malaysia and China stood at RM23.63 billion last year. The total value of Malaysia’s export of agricommodity and agricommodity-based products to China last year rose 27% to RM19.1 billion from RM15 billion in 2016.
The commodity export was mainly contributed by palm products valued at RM9.42 billion, followed by rubber and rubber products at RM8.09 billion.
