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20 AUGUST 2014
20 AUGUST 2014 FOCUS & COMPETITIVE COMPARING MALAYSIAS - - PowerPoint PPT Presentation
20 AUGUST 2014 FOCUS & COMPETITIVE COMPARING MALAYSIAS - - PowerPoint PPT Presentation
20 AUGUST 2014 FOCUS & COMPETITIVE COMPARING MALAYSIAS BIOECONOMY TO SELECTED ECONOMIES BASED ON CONTRIBUTION TO THE GDP USA USA EUROPE 16% 18% 16% EUROPE CANADA 19% 9% CANADA MALAYSIA 7% 10% DEVELOPED ECONOMY DEVELOPING
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FOCUS COMPETITIVE
&
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Business Intelligence & Analytics
MALAYSIA 10%
2013 2020
Thai 2% China 2%
Russia 1%
India 1% DEVELOPED ECONOMY DEVELOPING ECONOMY
BIOECONOMY’S CONTRIBUTION TO THE NATION’S GDP
Malaysia 3% USA 18% EUROPE 19%
CANADA
9%
BIOECONOMY’S CONTRIBUTION TO THE NATION’S GDP
USD50 BILLION
COMPARING MALAYSIA’S BIOECONOMY TO SELECTED ECONOMIES BASED ON CONTRIBUTION TO THE GDP
USA 16%
CANADA
7% EUROPE 16%
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THE
CHEMICAL
INDUSTRY
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55 60 65 100 5 10 15 20 25 30 35 40 45 50
5% 7% 7% 8% 21% 11% 24% 14% 43% 60% LATIN AMERICA REST OF WORLD NORTH AMERICA EUROPE ASIA
USD 1.2 TRILLION USD 4.0 TRILLION
2010 2030 2010 2030
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CONSUMER DRIVEN
COMPANY
Source 25% of PET from recycled
- r renewable material by 2015
Reduce manufacturing emissions (2004 levels) 5% by 2015 Replace 25% of petro-based materials with renewables Increase renewable energy use in facilities to 30% 25% of 2015 net sales from environmentally innovative products
Absolute reduction in GHG by 5%
3 years of experimentation with plant-based plastics launched by four brands Extensive cooperation initiatives with partners to contribute to non-based renewable materials
SUSTAINABILITY TARGETS
PRODUCER DRIVEN
COMPANY
Biobased succinic acid used to produce PBS and APG (Alkypolyglucoside) Cargil/Novozymes partnership to produce acrylic acid Biobased, 1,3-PDO, PTT, polytrimethylediol and thermoplastic elastomers, using corn sugar as feedstock Increase renewable energy use in facilities to 30% Biobased polyethylene production from cane sugar
Biobased polypropylene plant to come online by end of 2013
Partnership to commercialize 2nd generation ethanol using different technologies and feedstock Biobased succinic acid development efforts
SUSTAINABILITY TARGETS
GOVERNMENT DRIVEN
COMPANY
36 billion gallons of biofuels by 2022, of which cellulosic fuels would be 16 billion gallons FQD: relates to the quality of fuels and the sustainability of the feedstock used to produce it in EU nations China has a 10% biofuels mandaten by 2020 India has 5% mandate in place; move to 10% expected soon
SUSTAINABILITY TARGETS
Malaysia B5 biodiesel mandate Philippines E10 ethanol and B2 biodiesel mandate
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BIOCHEMICAL MARKET, 2020: RM 72 BILLION 20% MALAYSIA CHEMICAL MARKET, 2020: RM 288 BILLION
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HOW DO WE
LEVERAGE ON THE OIL PALM
INDUSTRIES TO ADVANCE
& PETROCHEMICAL
THE BIOBASED
INDUSTRY
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MILL
OLEOCHEM
RM80 BILLION
2013
CONSUMER PRODUCTS
REFINERY
BIODIESEL RBD PALM OIL RBD OLEIN PFAD FATTY ACIDS FATTY ALCOHOLS ESTERS GLYCERIN SPECIALTY FATS EDIBLE OILS SOAPS COSMETICS FOOD ADDITIVES PLASTIC
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SOLUTIONS
BIOBASED-
THROUGH
TECHNOLOGY
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OIL PALM TREE: ‘A MULTI – PURPOSE TREE’
A UNIQUE FEEDSTOCK
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*Based on 100 million MT FFB production 2013, MPOB
OIL PALM FRONDS
VOLUME
BIOMASS TYPE
MESOCARP FIBRES EMPTY FRUIT BUNCHES
CURRENT USE
33 MILLION MT PER ANNUM 24 MILLION MT PER ANNUM 23 MILLION MT PER ANNUM OIL PALM TRUNKS 14 MILLION MT PER ANNUM PALM KERNEL SHELL 5 MILLION MT PER ANNUM PALM KERNEL CAKE 3 MILLION MT PER ANNUM COMPOST SOLID FUEL SOLID FUEL, COMPOST COMPOST ACTIVATED CARBON ANIMAL FEED
SOLID BIORESOURCES
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THE BIOCHEMICAL ECOSYSTEM IN MALAYSIA (SYNERGIZING OLEOCHEMICAL & PETROCHEMICAL INDUSTRIES)
HIGH VALUE CHEMICALS
NEW ACTIVITY
BIO-CHEMICALS
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SUGAR LIGNIN
SOLID BIORESOURCES
RM20 B RM0.5 B
POTENTIAL MARKET PER ANNUM
RM100 BILLION
POTENTIAL MARKET PER ANNUM
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TECHNOLOGY FRONTIER
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FRESH FRUIT BUNCHES
150 USD PRICE/MT (000) 800 – 1,000
CRUDE PALM OIL
1,000 – 1,400
PALM REFINERY PRODUCTS
1,400 – 2,000
BASIC OLEO PRODUCTS SPECIALTY BIO CHEMICALS
3,000 – 4,000
1 2 3 4 5
Adoption of Biobased technology in Downstream Palm Oil Industry
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OVER THE NEXT 5 YEARS
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SOLID BIORESOURCES
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INFRA
& ECOSYSTEM
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CHALLENGES
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STRENGTHS CHALLENGES
WORLD CLASS COMPANIES & CONGLOMERATES i.e. SIME DARBY, PETRONAS, FELDA, GENTING, IOI LIMITED AREA FOR PLANTATION EXPANSION, CONVINCING PALM GROWERS TO VENTURE FURTHER DOWNSTREAM READY & WELL-ESTABLISHED INFRASTRUCTURE, DEDICATED, CUSTOMIZED INDUSTRIAL PARKS LIMITED TECHNOLOGY KNOW-HOW, WILL REQUIRE STRATEGIC PARTNERSHIP WITH TECHNOLOGY PROVIDERS ADVANCED ENGINEERING CAPABILILTIES FROM BOTH PALM OIL & THE PETROCHEMICAL INDUSTRIES LIMITED EXPERIENCE IN SCALING UP BIO-BASED PROJECTS PROVIDE OPPORTUNITIES TO COMPLEMENT WITH THE STRATEGIC
- PROJECTS. i.e. PETRONAS RAPID,
JOHOR & PETRONAS GIPC, KUANTAN VERY COMPETITIVE REGIONAL INVESTMENT LANDSCAPE
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THE
INCENTIVES
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1
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2
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THANK YOU
READY TO INSPIRE
COMMERCIALIZING INNOVATION IN BIOTECHNOLOGY