Abstract:

This study assessed the palm oil industry in the Philippines and Thailand putting emphasis on their challenges and opportunities. The study was implemented through interviews with the research key informants from both countries. Secondary data relating to the palm oil industry were sourced from existing company records and research conference materials. Interviews with key informant reveal different sustainable practices worth emulating. Socio-cultural and demographic factors were the most dominant external factors affecting the palm oil industry. Thailand has established itself as the largest supplier of palm oil seedlings, achieved through years of research and development initiatives and enhance productivity in the agri-industry subsector. There is a promising future for the palm oil industry in the Philippines especially if its full production potentials can be tapped to optimum productivity. Opportunities abound for the Philippines with the present momentum of expanding number of planters and palm oil growers paving way for high income generation, rural poverty reduction supportive to countryside development initiatives. Thailand has already an established palm oil industry and is committed to sustain its development over the long run. The country is very much ahead as the third major player in the world, supplying the demand not only for crude palm oil and its derivatives but also for seeds and hybrid seedlings. For the Philippines, government support is badly needed to overcome the large vegetable oil import, low agricultural productivity, and high rate of poverty. More research activities may be undertaken to find out the effect of segmentation of gas brought about by oil palm planting.