The Nation: More power to palm oil
More power to palm oil
Published on October 3, 2009
Alan Oxley, chief of World Growth, explains how palm-oil plantations |might be the answer to poverty and greenhouse gases
Alan Oxley, a former career diplomat and currently head of World Growth, a pro-palm oil lobby group, advocates a more balanced approach in coping with the phenomenon of global warming.
Practicality is one of the most important issues in executing a worldwide green strategy, says Oxley, who was Australia’s envoy to GATT (General Agreement on Tariffs and Trade), predecessor of the World Trade Organisation in the late 1980s.
Given that there is no effective world government, it’s only practical to have binding agreements that fit each country’s capacity to deal with the consequences of global warming.
Oxley, who is also managing director of ITS Global, a consulting firm on international trade issues, says many poor and not-so-poor countries have opposed ambitious targets on the reduction of carbon emissions on grounds that those targets would hinder their development path.
China and India are perfect examples. In the meantime, the US has chosen to opt out of the Kyoto Protocol, making it impractical to execute a world agreement on global warming because the United States is one of the top polluters.
The Kyoto Protocol will expire in 2012.
Oxley, who was in Bangkok this week to attend the United Nations Conference on Climate Change, believes it is wrong to hold back growth in developing countries while implementing measures to cope with global warming.
Hence, World Growth’s agenda is to promote a pro-development approach in reducing greenhouse gases, which scientists believe have caused global warming.
Average temperatures are forecast to rise by about 2 degrees Celsius from the pre-industrial levels so there have been worldwide efforts to mitigate the situation.
Both goals – national development and a reduction in greenhouse gases – are achievable, but Oxley’s push for palm-oil plantations around the world has also faced serious opposition because widespread plantations will lead to fewer wildlife habitats and a drop in bio-diversity in eco-systems due to mono-crop plantations.
Yet, Oxley argues that economic benefits from the palm-oil movement are significant and can help reduce poverty in developing countries in Asia and Africa.
For example, a one hectare palm-oil plantation generates about US$2,500 (Bt83,800) to $3,000 per year. At present, Indonesia is the world’s largest producer of palm oil.
Oxley also argues that palm-oil plantations are one of the means for sustainable development via collaboration with industry, growers and local community.
At present, palm oil accounts for 32 per cent of worldwide production of edible vegetable oil and 59 per cent of annual global exports.
Production of palm oil is more sustainable than crop-based vegetable oils such as soybean and rapeseed because it consumes less energy and land, but yields more oil per hectare.
In addition, around 89 per cent of the world’s vegetable oils are produced in developing countries. As a result, restrictions on palm-oil production and access to international markets will hinder opportunities for developing countries to raise their standard of living and reduce poverty.
In terms of climate and the environment, palm oil is an efficient carbon sink and can serve as an effective biofuel to help reduce consumption of fossil fuels, Oxley said.
