Last update: 10/07/2019
KUALA LUMPUR, July 10 (Bernama) -- The downstream industry for agarwood is performing at a robust pace, backed by increasing demand, said the Malaysian Timber Industry Board (MTIB).
Deputy director-general for development and commercial Mohd Kheiruddin Mohd Rani said in 2018, the export value of agarwood was at RM9.93 million, while value-added products such as fragrances and incense stood at RM122 million and RM22 million respectively.
"We aim to increase the export value for agarwood to RM12 million in 2020," he told a press conference after the Agarwood, Incense and Fragrances International Conference today.
He said the increase in exports would not case damage to forests, as agarwood is now being planted by small stakeholders.
"We have 2234 hectares of agarwood plantations on record with approximately 2.2 million trees. We have to move to plantations as agarwood related trading is restricted as it is listed in Appendix II of the convention of international trade in endangered species of wild flora and fauna," Mohd Kheiruddin said.
Meanwhile, Primary Industries Minister Teresa Kok when officiating the event said demand for agarwood products had increased over the last 30 years and the government was currently implementing the Karas and Gaharu Development Action Plan 2011-2021.
"The development of the agarwood industry in Malaysia has been implemented for several years. Currently, Malaysia is the fifth country to export agarwood products after Thailand, Indonesia, India and Vietnam.
"The government is collaborating with the industry to constantly promote the growth of agarwood through various research and development products," she added.