Chavez in Malaysia: palm oil, biofuels, geopolitics and ideology

Even though OPEC-member Venezuela is an oil rich country, it is seeking investments from Malaysia’s palm oil sector as part of efforts to diversify its economy from being too dependent on fossil fuel. Venezuelan President Hugo Chavez is on a four-day visit to the country to boost economic ties. Top of the agenda was his visit to the state-owned Golden Hope plantations where he expressed great interest in palm oil’s competitiveness as an renewable energy crop, closing a bilateral cooperation deal with Malaysia. During his visit he also controversially urged Malaysia to ‘bypass the West’. And reciprocally, Malaysia announced it is backing Venezuela’s bid for a seat on the UN Security Council. Clearly, biofuels, geopolitics and ideology are forming a fascinating cocktail.

Chavez’s first stop was at Golden Jomalina Food Industries Sdn Bhd, Golden Hope’s biodesel plant in Teluk Panglima Garang. While heading to the Golden Hope Academy in Pulau Carey later, Chavez and his delegation had the chance to view the palm plantations. Chavez asked many questions about costs, yields, social sustainability, technology and biodiesel. Venezuela, one of the world’s largest oil producers, shares the Equator line with Malaysia, making its land also suitable for growing oil palm.

Biopact.com