Comparison of the Palm Oil Industry in Malaysia and Ghana
Malaysia and Ghana are both producers and exporters of palm oil in the world. The path of their industries diverged in the early stage of development, and eventually went in opposite directions. Malaysian industry has been dynamic and successful, and Ghana, inactive and limited. Malaysia and Ghana had different industry structures, and different market orientations.
Because the oil palm tree is indigenous to West Africa, the fruit of the palm tree was well known and used by natives of southern Ghana for many centuries. Even today, it is part of their daily life routines, and constitutes the most important source of edible oil. For Ghana, crude palm oil production was not just to meet the growing demands of the world economy, but also part of the local economy which met domestic needs.
For Malaysia, however, there was virtually no tradition of using palm oil before the colonial era. Traditionally, coconut oil has been used as a frying medium, and palm oil, beyond its industrial uses, has no special cultural significance for local communities.
Ghana and Malaysia were both British colonies. The first oil palm plantation and mill was established in Ghana by the British Alexander Cecil Goff in the early 1900s. The British in Malaysia went to Ghana to learn more about the culture of oil palm plantation and production techniques. The first palm oil plantations made in Malaysia were British and were implemented in 1917.
Malaysia has a great history and cultural experience of large-scale planting of crops, including palm oil. She began dominating the world market for palm oil in the early 1970s with 573,000 metric tons exported per year. According to the U.N. Food and Agriculture Organization, Malaysia is currently the number two exporter of palm oil in the world after Indonesia.
In contrast, neither the pre-colonial nor the colonial period in Ghana generated much experience with large-scale plantations. Successive initiatives in Ghana to stimulate palm oil
Because the oil palm tree is indigenous to West Africa, the fruit of the palm tree was well known and used by natives of southern Ghana for many centuries. Even today, it is part of their daily life routines, and constitutes the most important source of edible oil. For Ghana, crude palm oil production was not just to meet the growing demands of the world economy, but also part of the local economy which met domestic needs.
For Malaysia, however, there was virtually no tradition of using palm oil before the colonial era. Traditionally, coconut oil has been used as a frying medium, and palm oil, beyond its industrial uses, has no special cultural significance for local communities.
Ghana and Malaysia were both British colonies. The first oil palm plantation and mill was established in Ghana by the British Alexander Cecil Goff in the early 1900s. The British in Malaysia went to Ghana to learn more about the culture of oil palm plantation and production techniques. The first palm oil plantations made in Malaysia were British and were implemented in 1917.
Malaysia has a great history and cultural experience of large-scale planting of crops, including palm oil. She began dominating the world market for palm oil in the early 1970s with 573,000 metric tons exported per year. According to the U.N. Food and Agriculture Organization, Malaysia is currently the number two exporter of palm oil in the world after Indonesia.
In contrast, neither the pre-colonial nor the colonial period in Ghana generated much experience with large-scale plantations. Successive initiatives in Ghana to stimulate palm oil