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MalaysiaAgriculture and food production2024 – ongoing

Minsawi Industries

AI process control at a palm oil mill

A Perak palm oil mill cut foreign workers from 66 to 44 and estimated RM1.6 million a year in processing savings after adding AI

WorkingRegulator, audit or court

Problem

The mill in Kuala Kangsar, 41 years old and rated at 45 tonnes of fruit per hour, lost oil in processing and paid for heavy maintenance and a large foreign workforce.

Approach

With the technology firm Airei, the mill added AI, sensors and predictive tools to its processing line. The system cost about RM5 million. The plantation minister described the results in parliament in February 2025 after a visit in 2024.

Results

~RM1.6 million/yearestimated cut in processing costs from lower oil losses and maintenance, per the plantation ministerRegulator, audit or court[1]
66 to 44foreign workers at the mill after AI, worth about RM1.1 million in wages, per the ministerRegulator, audit or court[1][2]
~RM5 millioncost of the AI system; payback expected within two years, per the ministerRegulator, audit or court[1][2]

Takeaway

The plantation minister said AI-run mills needed more skilled local staff as foreign-worker numbers fell. He estimated a two-year payback in parliament.

Categories

Business function
Production and quality
Innovation type
Process innovation
Evidence
Regulator, audit or court

Sources

  1. AI-powered palm oil mill (Palm News)
    Malaysian Palm Oil Board (repost of New Straits Times)27 Feb 2025News article
  2. AI palm oil mill in Kuala Kangsar (Palm News)
    Malaysian Palm Oil Board (repost of The Star)24 Feb 2025News article

Source summaries

[1]Malaysian Palm Oil Board (repost of New Straits Times)27 Feb 2025

New Straits Times reported the plantation minister's statements on 26 February 2025, naming Minsawi Industries in Kuala Kangsar and its partner Airei. It gave the cost, savings and workforce figures, with conflicting annual processing-savings amounts of RM1.6 million and RM16 million.

[2]Malaysian Palm Oil Board (repost of The Star)24 Feb 2025

The Star reported the minister's winding-up speech in the Dewan Rakyat on 24 February 2025. It gave workforce and cost figures and combined savings of about RM2.7 million. The minister also replied to an MP who said high AI maintenance costs had closed a mill in Jerangau.

Full details are in the original sources.

Added 25 Oct 2026 · Updated 25 Oct 2026
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