PM: Focus on renewable palm biofuel

KUALA LUMPUR: The country’s biotechnology industry could take advantage of the global concern over food and energy security by focusing on developing new and economically viable renewable fuel from palm oil.

Prime Minister Datuk Seri Abdullah Ahmad Badawi said the industry should leverage on Malaysia’s natural strengths like focusing on the palm oil industry.

“Innovative bio-refineries is a strategic area which will be looked at,” he told reporters at the third meeting of the Biotech International Advisory Panel here yesterday.

Abdullah said the meeting impressed the point that the world was different now compared with three years ago when the biotech initiative was first started.

To a question, he said Malaysia’s biotech industry was presently valued at RM1.3bil, with an expected annual growth of 22%, largely driven by the palm oil industry.

On the commercial availability of biofuel in the country, Abdullah said the necessary infrastructure must be developed first.

He also pointed out that it would be more profitable to convert palm oil to biofuel when the price of the commodity drops.

“When the price is down, they can choose biofuel. Then biofuel will have added value and the price will be higher,” he said.

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