By ELIZABETH VUVU
NEW Ireland Governor Sir Julius Chan is taking seriously a report by the Bank of Papua New Guinea showing that oil palm is the only commodity that recorded constant rise in export volumes and intends to resurrect the province’s oil palm industry.
He said the report by the bank showed a decline in the production and export of major agricultural commodities over the past eight years up to last year.
The bank’s quarterly economic bulletin said that only oil palm recorded constant rise in export volumes over the same period, ahead of coffee, cocoa, copra and tea.
Sir Julius said oil palm, which he introduced to New Ireland, had recorded steady growth since Poliamba Estates was established in 1988.
As a joint venture with the New Ireland provincial government business arm – the New Ireland Development Corp, Poliamba acquired 30 run-down plantations and developed oil palm in New Ireland.
The business ownership of Poliamba had changed hands since with Cargill Tamesak Plantations taking over the major shareholding of 75.66% in 2005. The other partners in the new joint venture are Independent Public Business Corp (IPBC) with 20%, and Kula Fund Ltd, with 4.34%.
Sir Julius urged the management of Poliamba which produced 120,000 tonnes of palm oil annually and small holders producing at leaset 19,000 tonnes yearly to start making profit as its business arm – the NIDC had not seen any money since 1988.
He said with the price of palm oil was around K293 per tonne, this should turn the company to making profit.