THE Minister for Oil Palm, Hon. Francis Manake, has outlined plans to enhance access to extension services, implement fair pricing mechanisms, and promote greater participation in value chains.
Minister Manake, alongside key government officials and industry leaders, gathered in Kimbe, West New Britain Province, on November 18 for the validation workshop of the National Palm Oil Policy 2024-2029.
He acknowledged the vital role the oil palm industry plays in the national economy, supporting thousands of livelihoods.
The industry contributes 60% of the nation’s agricultural export revenue, generating approximately K2 billion annually and providing jobs to thousands of Papua New Guineans.
However, despite its significance, the sector faces challenges, including a lack of comprehensive regulatory frameworks, unclear licensing processes, land disputes, and inconsistent benefit-sharing mechanisms that have hindered its full potential.
The new National Palm Oil Policy 2024-2029 aims to address these issues by establishing a robust regulatory environment that promotes transparency, fairness, and sustainability.
The policy is designed to create a more inclusive and equitable oil palm sector, benefiting both private sector stakeholders, such as New Britain Palm Oil Limited (NBPOL) and Hargy Oil Palm Limited (HOPL), as well as smallholders and landowners.
Minister Manake said that the policy is not intended to disrupt existing operations but to enhance them.
“It is designed to foster an environment of trust, collaboration, and shared growth, while ensuring a level playing field for all,” he added.
A key feature of the policy is the creation of the Oil Palm Industry Authority (OPIA), which will oversee industry operations, standardize licensing processes, and ensure compliance with international standards.
This regulatory framework will ensure greater accountability, clarity, and fairness.
Empowering smallholders remains central to the policy, with plans to improve access to extension services, implement fair pricing mechanisms, and encourage greater participation in the value chain.
Additionally, the policy aims to formalize landowner equity participation and benefit-sharing mechanisms, ensuring that the growth of the industry directly benefits local communities.
Minister Manake also highlighted the policy’s alignment with global best practices, particularly regarding waste management, climate change mitigation, and biodiversity protection.
“These measures aim to ensure that the growth of the oil palm industry does not come at the cost of PNG’s natural heritage,” he said.
Infrastructure and social development in oil palm project areas will be prioritized, with the government planning to improve essential services, including roads, bridges, schools, and healthcare facilities, through public-private partnerships, further benefiting local communities.
“The government will continue to collaborate closely with the private sector, but we will also ensure that our regulatory role is clear and uncompromised,” Minister Manake added.
He reiterating that fairness, accountability, and sustainability are non-negotiable principles underpinning the policy’s vision for the industry’s future.
He assured the private sector that the policy would provide certainty and clarity, while ensuring adherence to best practices, and stated that smallholders and landowners would have a voice in ensuring their contributions to the industry are fully recognized and rewarded.
