THE palm oil sector has the potential to shift from its dependence on foreign workers to local talents through the increased adoption of artificial intelligence (AI) in palm oil processing, says Datuk Seri Johari Abdul Ghani (pic).
The Plantations and Commodities Minister said many AI-driven technologies require local expertise to operate and monitor, akin to creating high-income job opportunities in the industry.
Johari said AI usage can also contribute to cost savings by palm oil processing mills, referencing his visit last year to a mill that utilised AI in Kuala Kangsar, Perak.
The mill, operating at a capacity of 45 metric tonnes per hour, managed to reduce processing costs by an estimated RM1.6mil annually, he said during his winding-up speech in the Dewan Rakyat yesterday.
Additionally, AI implementation lowered the number of foreign workers at the facility from 66 to 44, resulting in RM1.1mil in wage savings.
“When you combine the RM1.6mil and RM1.1mil, that amounts to RM2.7mil saved,” Johari explained.
He added that the installation cost of the AI system is about RM5mil, meaning the investment will be recouped within two years through the savings.
Johari reassured stakeholders that there is no need to be afraid of AI usage, adding that any instances of palm oil processing plants having to close down could be due to many factors.
He was responding to Datuk Rosol Wahid (PN-Hulu Terengganu), who raised concerns about high AI maintenance costs, claiming that there was a factory in Jerangau which had to close down due to this.
“When a factory shuts down, there can be several reasons. One reason could be a lack of fruit to harvest.
“If there are many workers but not enough fruit, costs will rise disproportionately,” he said.
Another possible reason, he said, could be inefficiencies caused by ageing facilities.
Johari also urged MPs to reach out to him directly on related issues, assuring that he will request the Malaysian Palm Oil Board to investigate the matters raised.
