KUCHING: Hulu Rajang MP Datuk Wilson Ugak Kumbong yesterday called for a probe on the RM50 service charge in the sales receipt for fresh fruit bunches (FFB) of oil palm planters in his constituency.
“I would like to ask on the grievances from the settlers in my area who questioned why there is a service charge of RM50 which is included in their FFB sales receipts.
“I hope this matter can be investigated immediately,” he said when debating the Supply Bill 2021 at the committee stage for the Ministry of Plantation Industries and Commodities in the Dewan Rakyat.
Meanwhile, he noted that crude palm oil (CPO) prices had started to recover since May due to a significant increase in export demand in June, and continued its upward trend in July.
This year’s total CPO production in Malaysia is projected to be at 19 million tonnes or down 4.32 per cent compared to 2019, he said.
“Although exports were 17 per cent lower in the first half of 2020 than 2019, exports were seen to increase steadily, especially from India.
“India increased purchases in June following the loosening of the restriction on movement and the increase of stockpile,” he said, adding that China had also expressed
interest to buy more CPO from Malaysia.
However, Ugak expressed concern that the sharp increase in CPO exports, triggered by the reduction of the export tax to zero, would put pressure on existing stock and affect the availability of CPO products in the domestic market.
“I hope an immediate study will be carried out to ensure that the supply of stock in the country is always sufficient.
“We should not be too enthusiastic about selling CPO until we forget about the stock for local supply.”
On another note, he welcomed the increase in the Rubber Production Incentive from RM100 million to RM300 million, saying this was to aid rubber planters affected by unstable commodity prices.
“In addition, this initiative will also help small settlers to increase their daily income as during this pandemic time, many small-scale settlers have financial burden because their daily income is affected.
“I hope that the year 2021 will bring new light to our rubber tappers nationwide,” he said.