A Qualitative Approach of Identifying Major Cost Influencing Factors in Palm Oil Mills and the Relations towards Production Cost of Crude Palm Oil | Science Publications

American Journal of Applied Sciences

Adam Baharum¹  Elaine L.Y. Man¹ 

关键词: Crude palm oil (CPO);    Palm oil mills;    Production cost;    Fresh Fruits Bunches (FFB);    Free Fatty Acids (FFA);    Part-Per-Million (PPM);    export revenue;    palm oil industry;    Statistical analysis;    million tons;    Empty Fruit Bunch (EFB);   

DOI  :  10.3844/ajassp.2011.441.446

学科分类：自然科学（综合）

来源: Science Publications

【 摘 要 】

Problem statement: The oil palm industry, which heavily depends on the world market, is anexport oriented industry. Worlds palm oil consumption was growing over the years. In addition, Indonesiaand Malaysia dominated the oil palm industry. The oil palm industry in Malaysia is very competitive andbecome one of the major economic sectors contributing to the total revenue of the country. In year 2009,there was a total of 22.40 million tons of oil palm products including palm oil, palm kernel oil, palm kernelcake, oleo-chemicals and finished products, equivalent to RM 49.59 billion of export revenue. However,cost of production for Crude Palm Oil (CPO) varies in a big gap. Therefore, it is essential to identify themajor cost influencing factors in the production of CPO. Approach: The study system started withcollection of Fresh Fruits Bunches (FFB) from oil palm plantation to the production of CPO at palm oilmills. Two palm oil mills of different production capacity were chosen for this study. Statistical analysiswas done to identify the major cost influencing factors of production cost for CPO. Results: Theproduction cost of CPO for small scale palm oil mills preferably lied between RM 45 to RM 50 per metrictons while large scale palm oil mills lied below RM 45 per metric tons. Conclusion: Palm oil mills withhigher production capacity were efficient in producing CPO than lower production capacity palm oil mills.Thus, the production cost of CPO was lower compared to that of small scale palm oil mills.

【 授权许可】

Unknown