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New Britain Palm Oil Ltd -
Sustainable Agriculture and
Food Security
Dr Simon Lord
New Britain Palm Oil
CSR – Asia KL 27-28 Sept 2011
2
Growth
Current population 7.1 billion people – 9.1 billion in 2050
Population growth adds 80 million people each year
That’s 219,000 new mouths to feed each day
Requires a 70% increase in food production
Affluence
Some 3 billion now eating grain-intensive livestock and poultry products.
Total meat consumption in China today is already nearly double that in the
United States.
Fuel
US produced 416 million tons of grain in 2009
119 million tons went to ethanol
Enough to feed 350 million .
As a consequence costs are rising
Demand Drivers for Food
3
Increasing Inputs and Costs
4
The challenge - to increase the productivity of agriculture in a sustainable
manner.
1.  Improve livelihoods in the rural sector Social
2.  Empower marginalized stakeholders Smallholders
3.  Maintain the environment Environmental
4.  Increase productivity Good Agricultural Practices
5.  Manage access and flow of knowledge Information / extension
6.  Link supply chains Post harvest losses
Agricultural Knowledge, Science
and Technology (AKST)
5
Definitions
Food security [is] a situation that
exists when all people, at all times,
have physical, social and economic
access to sufficient, safe and nutritious
food that meets their dietary needs and
food preferences for an active and
healthy life.
Food sovereignty is defined as the
right of peoples and sovereign states
to democratically determine their own
agricultural and food policies.
(FAO, The State of Food Insecurity, 2001)
6
Food Security –
Triple Bottom Line
7
Land
Seed
Nutrients
Management
Losses
The Building Blocks
Yield Gap
Supply Chain
Utilisation / Suitability
inputs
8
Traditional Farming not the
answer
It takes 50 ha of land
to feed a family of a
generation
The same family can
be fed on 8 ha of oil
palm + 2 ha of food
gardens
2 considerations
Land Selection
Land Utilisation
Primary Forest
HCV
Fragile soils
Erosion prone
Liable to flooding
Climate change
Rising water levels
Carbon Stock
Peat
Heritage and sacred sites
Slope Food Sovereignty vs
Sustainable development
Spatial Planning ?
Land Selection - Physical
9
10
Oil palm is
biologically
superior to
other oilseed
crops in terms
of efficiency in
land use and
productivity
Productivity
the key
Land Utilization
11
3 yield gaps 1 Genetic Potential
2 Nutrient Deficiency
3 Poor management
	
  	
  
100	
   	
  	
   	
  	
   20%	
   Theore+cal	
  Maximum	
  	
  
	
  	
  
Yield	
  Poten+al	
   	
  	
  
80	
   of	
  Progeny	
  	
   	
  	
   20%	
   Realis+c	
  maximum	
  
for	
  any	
  given	
  Soil	
  	
   Yield	
  reduc+on	
   	
  	
  
60	
   and	
  Climate	
   because	
  of	
  	
   	
  	
   20%	
  
	
  	
   Inferior	
  	
   Yield	
  reduc+on	
   	
  	
  
40	
   	
  	
   Seed	
   because	
  of	
  	
   	
  	
   Yield	
  can	
  be	
  40	
  %	
  	
  
	
  	
   	
  	
   Nutrient	
  	
   Yield	
  reduc+on	
  	
   of	
  the	
  theoretcial	
  maximum	
  
20	
   	
  	
   	
  	
   Deficency	
  	
   because	
  of	
  	
  
	
  	
   	
  	
   	
  	
   Poor	
  	
  
0	
   	
  	
   	
  	
   	
  	
   Management	
  
Yield	
  Gap	
  	
  
It starts with the right seed
Yield Gap Analysis
Increased Yield
Conventional Breeding Program for 40 years
Yield enhancement through conventional plant breeding has given NBPOL a
1.6% yield improvement per year.
The focus has been to increase the yield of oil per hectare, improving the
harvest Index without requiring greater inputs.
No GMO - Micro-propagation can accelerate the results
of conventional breeding
12
0.0
2.0
4.0
6.0
8.0
10.0
1980 1990 2000 2008
CPO Production
13
What is Biotechnology
14
GMO – Issues
1.  Herbicide usage increased
2.  Super weeds have occurred
3.  No high nutrition crops yet
4.  No climate ready crops
5.  Depressed Yields
6.  Contamination
7.  Genetic Transfer Risks
8.  Toxicity to animals
9.  Diverts funding from conventional
10. Commercial interests predominate
11. Terminator Seeds
12. Molecular divide
Single largest production cost
Proper fertilizer management is
vital to avoid wastage and
minimize costs
Reduces negative impacts on
the environment.
Organic a possibility?
Precision Agriculture (GPS / GIS)
Fertiliser Management
15
GAP - Zero Discharge – EFB Recycling
GAP - Legume Cover Crop
16
GAP - Responsible Pesticide Use and IPM
GAP - Responsible Soil Stewardship
17
18
Post Production Waste
Average post harvest losses = 20 - 25%
One-third of the food produced for
human consumption is lost or wasted
amounting to 1.3 billion tonnes
consumers in rich countries waste about
222 million tonnes of food,
Almost as much as the entire net food
production of sub-Saharan Africa.
925 million people are hungry, and poor
nutrition plays a role in at least half of
the 10.9 million child deaths each year
FAO estimates from 2010.
This is your individual responsibility
Yield Gap Overview – Oil Palm
Average Fruit yields
Industry 23 t / ha
NBPOL 28 t / ha
Gap = 22%
Average oil yields
Industry 3.74 t / ha
NBPOL 6.39 t / ha
Gap = 71%
New clonal material
NBPOL 9.00 t / ha
Potential yield Gap
= 141%
0.0
5.0
10.0
15.0
20.0
25.0
30.0
35.0
1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009
TnsFFB/Ha
Year
Palm Yield (Tns FFB/Ha) >6 years old 1997 - 2009 Yield.>6yr old palms
Target
20
Summary of Benefits – Oil Palm
Convention Breeding increased yield potential by 50% over last 30 years
Tissue culture potential for further 50% increase in the next 10 years
Composting in nurseries reduce losses by 15%
Palm Trees yield at 2 years instead of 3
Fertiliser usage 70% of the industry standard
Organic matter in the soil increasing by 0.25% per year erosion down 50%
IPM strategy reduced pesticide use by 50%
Over 18,000 smallholders empowered
Smallholder earning increased from US$ 6 to 15 a day
Over 3,000 women now specifically engaged in the Rural sector
RSPO certification assures minimum negative impacts on Environment
Cheaper prices ? - not likely
Dr Simon Lord
Group Director for Sustainability
New Britain Palm Oil Ltd
slord@nbpol.com.sg
Thank You
21
"that whoever could make two ears of corn,
or two blades of grass, to grow upon a spot
of ground where only one grew before,
would deserve better of mankind, and do
more essential service to his country, than
the whole race of politicians put together.“
Jonathon Swift b.1667
AFRIS. AsianFoodRegulationInformationService.
We have the largest database of Asian food regulations in the world and it’s
FREE to use.
We publish a range of communication services, list a very large number of
food events and online educational webinars and continue to grow our Digital
Library.
We look forward to hearing from you soon!
www.asianfoodreg.com
adrienna@asianfoodreg.com

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Sustainable Agriculture and Food Security

  • 1. New Britain Palm Oil Ltd - Sustainable Agriculture and Food Security Dr Simon Lord New Britain Palm Oil CSR – Asia KL 27-28 Sept 2011
  • 2. 2 Growth Current population 7.1 billion people – 9.1 billion in 2050 Population growth adds 80 million people each year That’s 219,000 new mouths to feed each day Requires a 70% increase in food production Affluence Some 3 billion now eating grain-intensive livestock and poultry products. Total meat consumption in China today is already nearly double that in the United States. Fuel US produced 416 million tons of grain in 2009 119 million tons went to ethanol Enough to feed 350 million . As a consequence costs are rising Demand Drivers for Food
  • 4. 4 The challenge - to increase the productivity of agriculture in a sustainable manner. 1.  Improve livelihoods in the rural sector Social 2.  Empower marginalized stakeholders Smallholders 3.  Maintain the environment Environmental 4.  Increase productivity Good Agricultural Practices 5.  Manage access and flow of knowledge Information / extension 6.  Link supply chains Post harvest losses Agricultural Knowledge, Science and Technology (AKST)
  • 5. 5 Definitions Food security [is] a situation that exists when all people, at all times, have physical, social and economic access to sufficient, safe and nutritious food that meets their dietary needs and food preferences for an active and healthy life. Food sovereignty is defined as the right of peoples and sovereign states to democratically determine their own agricultural and food policies. (FAO, The State of Food Insecurity, 2001)
  • 7. 7 Land Seed Nutrients Management Losses The Building Blocks Yield Gap Supply Chain Utilisation / Suitability inputs
  • 8. 8 Traditional Farming not the answer It takes 50 ha of land to feed a family of a generation The same family can be fed on 8 ha of oil palm + 2 ha of food gardens 2 considerations Land Selection Land Utilisation
  • 9. Primary Forest HCV Fragile soils Erosion prone Liable to flooding Climate change Rising water levels Carbon Stock Peat Heritage and sacred sites Slope Food Sovereignty vs Sustainable development Spatial Planning ? Land Selection - Physical 9
  • 10. 10 Oil palm is biologically superior to other oilseed crops in terms of efficiency in land use and productivity Productivity the key Land Utilization
  • 11. 11 3 yield gaps 1 Genetic Potential 2 Nutrient Deficiency 3 Poor management     100           20%   Theore+cal  Maximum         Yield  Poten+al       80   of  Progeny         20%   Realis+c  maximum   for  any  given  Soil     Yield  reduc+on       60   and  Climate   because  of         20%       Inferior     Yield  reduc+on       40       Seed   because  of         Yield  can  be  40  %             Nutrient     Yield  reduc+on     of  the  theoretcial  maximum   20           Deficency     because  of                 Poor     0               Management   Yield  Gap     It starts with the right seed Yield Gap Analysis
  • 12. Increased Yield Conventional Breeding Program for 40 years Yield enhancement through conventional plant breeding has given NBPOL a 1.6% yield improvement per year. The focus has been to increase the yield of oil per hectare, improving the harvest Index without requiring greater inputs. No GMO - Micro-propagation can accelerate the results of conventional breeding 12 0.0 2.0 4.0 6.0 8.0 10.0 1980 1990 2000 2008 CPO Production
  • 14. 14 GMO – Issues 1.  Herbicide usage increased 2.  Super weeds have occurred 3.  No high nutrition crops yet 4.  No climate ready crops 5.  Depressed Yields 6.  Contamination 7.  Genetic Transfer Risks 8.  Toxicity to animals 9.  Diverts funding from conventional 10. Commercial interests predominate 11. Terminator Seeds 12. Molecular divide
  • 15. Single largest production cost Proper fertilizer management is vital to avoid wastage and minimize costs Reduces negative impacts on the environment. Organic a possibility? Precision Agriculture (GPS / GIS) Fertiliser Management 15
  • 16. GAP - Zero Discharge – EFB Recycling GAP - Legume Cover Crop 16
  • 17. GAP - Responsible Pesticide Use and IPM GAP - Responsible Soil Stewardship 17
  • 18. 18 Post Production Waste Average post harvest losses = 20 - 25% One-third of the food produced for human consumption is lost or wasted amounting to 1.3 billion tonnes consumers in rich countries waste about 222 million tonnes of food, Almost as much as the entire net food production of sub-Saharan Africa. 925 million people are hungry, and poor nutrition plays a role in at least half of the 10.9 million child deaths each year FAO estimates from 2010. This is your individual responsibility
  • 19. Yield Gap Overview – Oil Palm Average Fruit yields Industry 23 t / ha NBPOL 28 t / ha Gap = 22% Average oil yields Industry 3.74 t / ha NBPOL 6.39 t / ha Gap = 71% New clonal material NBPOL 9.00 t / ha Potential yield Gap = 141% 0.0 5.0 10.0 15.0 20.0 25.0 30.0 35.0 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 TnsFFB/Ha Year Palm Yield (Tns FFB/Ha) >6 years old 1997 - 2009 Yield.>6yr old palms Target
  • 20. 20 Summary of Benefits – Oil Palm Convention Breeding increased yield potential by 50% over last 30 years Tissue culture potential for further 50% increase in the next 10 years Composting in nurseries reduce losses by 15% Palm Trees yield at 2 years instead of 3 Fertiliser usage 70% of the industry standard Organic matter in the soil increasing by 0.25% per year erosion down 50% IPM strategy reduced pesticide use by 50% Over 18,000 smallholders empowered Smallholder earning increased from US$ 6 to 15 a day Over 3,000 women now specifically engaged in the Rural sector RSPO certification assures minimum negative impacts on Environment Cheaper prices ? - not likely
  • 21. Dr Simon Lord Group Director for Sustainability New Britain Palm Oil Ltd slord@nbpol.com.sg Thank You 21 "that whoever could make two ears of corn, or two blades of grass, to grow upon a spot of ground where only one grew before, would deserve better of mankind, and do more essential service to his country, than the whole race of politicians put together.“ Jonathon Swift b.1667
  • 22. AFRIS. AsianFoodRegulationInformationService. We have the largest database of Asian food regulations in the world and it’s FREE to use. We publish a range of communication services, list a very large number of food events and online educational webinars and continue to grow our Digital Library. We look forward to hearing from you soon! www.asianfoodreg.com adrienna@asianfoodreg.com