Use AI to reduce operational burden, Johari tells palm oil millers

Use AI to reduce operational burden, Johari tells palm oil millers

The plantation and commodities minister says the technology could help the operators save costs and reduce their reliance on foreign labour.

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Through the use of AI, a palm oil mill with a capacity of only 45 metric tonnes per hour managed to reduce its operational costs by an estimated annual average of RM1.6 million, said plantation and commodities minister Johari Ghani.
KUALA LUMPUR:
Plantation and commodities minister Johari Ghani has urged palm oil millers to take advantage of artificial intelligence (AI) to save costs and reduce their reliance on foreign labour.

Johari told the Dewan Rakyat the technology could help ease mill operations, including maintenance work.

He said that during a visit to a palm oil mill in Kuala Kangsar, Perak, last November, he was told the operator successfully improved the factory’s efficiency in crude palm oil (CPO) processing through AI adoption.

“In 2024, I officiated (the opening of) a palm oil mill because I was interested in the idea of integrating AI technology in processing CPO.

“After four months, the mill with a capacity of only 45 metric tonnes per hour managed to reduce its operational costs by an estimated annual average of RM1.6 million.

“Additionally, it helped cut down on the number of foreign workers involved,” he said when winding up the debate on the royal address for his ministry.

He said AI would also help reduce dependence on foreign workers, with local experts employed to monitor the technology.

“It would be similar to a high-income job,” he said.

To a question by Rosol Wahid (PN-Hulu Terengganu) on whether such technology would lead to the shutting down of palm oil mills like the one in Jerangau, Johari said the closure of the mill could have been due to other factors.

One possibility was the insufficient supply of the commodity which would have likely impacted the operating costs.

“It could also have been caused by a lack of efficiency due to the dated technology at the mill,” he said.

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