Improving Agricultural Market Performance:
Developing Agricultural Market Information Systems
56
Figure 19: FAMA, Malaysia MIS
Source
: http://www.fama.gov.my/The information generated through this system is used internally by FAMA for purposes of
managing its product marketing activities, including setting producer prices as well determining
wholesale prices. The data is also disseminated more widely for the benefit of market players.
4.3.2
MALAYSIA’S BURSA-LINKED MIS FOR OIL PALM PRODUCTS
Malaysia is second only to Indonesia in terms of global production of oil palm products.
According to Din (2017), Malaysia accounted in 2016 for 30% of global output and 37% of total
exports; compared to respective figures of 55% and 53% by Indonesia during that year.
Production is dominated by the large-scale private estates, who account for 61.2% of total
output in the country and independent smallholders, whose production represent 16.3%of total
national output. Landless farmers who participated in a resettlement scheme by the Federal
Land Development Authority (FELDA) also contribute another 12.3%.
The marketing system for oil palm products appears segmented. Most of the large-scale
producers have highly integrated systems where plantations are linked directly to processing
mills and oil refineries (for both palm oil and palm kernel oil), which they sell to domestic end-
users and/or export. Most of the smallholders sell fresh fruit bunches at the farmgate to private
buyers or to government agencies such as FELDA.