COCOA EXPORTS TO SURPASS US$887 MILLION IN 2010

KUALA LUMPUR, Jan 8 (Bernama) -- Exports of cocoa beans and cocoa-based
products is expected to surpass RM3 billion (US$887.05) this year as the global
economy shows positive signs of recovery.

Last year, cocoa exports were estimated at RM2.8 billion compared with
RM3.35 billion recorded in 2008. The final export figure is expected to be
released by end-March. (US$1=RM3.38)

Plantation Industries and Commodities Deputy Minister Hamzah Zainudin
said Malaysia was confident of exporting more cocoa products this year due to
rising global demand for the commodity.

"Statistics show that the per capita consumption of cocoa in European
countries such as Belgium and Switzerland exceeded five kilogrammes while in
Malaysia, per capita consumption was a meagre 0.5 kilogrammes," he told
reporters after opening the Malaysia Cocoa Fair 2010 here Friday.

Hamzah said there was vast potential for the local cocoa industry to develop
further as Malaysia was currently the world's fifth largest cocoa producer and
Asia's top cocoa grinder.

Malaysian cocoa fat, cocoa powder, cocoa paste and chocolates are exported
to 80 countries including the United States and Europe.

Hamzah said the government encouraged large-scale cocoa cultivation inorder
to increase the country's output.

"Incentives given to cocoa producers under the Ninth Malaysia Plan will
continue into the Tenth Malaysia Plan as it is our target to increase cocoa
cultivation to 45,000 hectares by 2020," he said.

Cocoa producers receive RM6,500 worth of fertilisers, cocoa beans and
equipement per hectare for five years yet land under cocoa cultivation dwindled
to 25,000 hectares from 40,000 hectares, five years ago, as many switched to oil
palm cultivation.

"The cocoa industry offers more lucrative returns than oil palm as the
commodity fetched an average of RM10,000 per tonne," Hamzah said.
-- BERNAMA