11/02/2026

BIZ & FINANCE WEDNESDAY | FEB 11, 2026

14

Govt open to exploring public sector data monetisation

Ű BY HAYATUN RAZAK sunbiz@thesundaily.com

KUALA LUMPUR: The government is open to exploring the potential monetisation of public sector data, said Minister of Digital Gobind Singh Deo. He said any request to monetise government data would be assessed under the Data Commission, which is being developed. “As we move forward, if there are requests to explore data mone tisation, in other words, whether data usage can generate value or returns, these are also matters under consideration by the Data Com mission,” he told reporters at the launch ceremony of the public sector data digitalisation policy and the expansion of the public sector data sharing platform MyGDX yesterday. Under the Data Sharing Act, Gobind said, a Data Committee has been established as an interim governance body to lay the groundwork for the formation of the Data Commission. “The committee is chaired by the Secretary-General of the Ministry of Digital and comprises representatives from all ministries.” He said the committee is examining key issues related to the establishment of the Data Commission, including data definitions, ensuring data is fully digitised, storage and security requirements, data-sharing mechanisms and the effectiveness of MyGDX as a national data exchange platform. “We must recognise that technology is constantly evolving, and we do not know what new technologies may emerge over the next 24 to 36 months.” This is a key focus of the Data Commission, which will draw on insights from experts in AI and data to anticipate where technology is heading and enable early pre paration, Gobind said. “By digitising data today, we aim to ensure that the necessary foun dations are in place for future technologies.” When those technologies emerge, the country will be able to adopt and deploy them without delay, he said. “This is a critical initiative, as expert input particularly from AI and data specialists is essential.” KUALA LUMPUR: Aggressive biofuel mandates in the United States and Europe are set to tighten global vegetable oil markets through 2027, driving structural demand growth even as feedstock constraints and trade barriers squeeze downstream players. Speakers at the Palm and Lauric Oils Price Outlook Conference and Exhibition 2026 said policy more than pure market forces will shape the next two years for palm oil, laurics and oleochemicals. Artem Hammerschmidt, head of vegoils and biofuels research at Ceras Analytics, said global biofuel policy is pointing to a significant supply demand imbalance. “Based on today’s biofuel policies, we estimate the market will require about 17 million tonnes more bio diesel and renewable diesel in 2026, and another six million tonnes in 2027,” he said.

o Any request will be assessed under the Data Commission, which is being developed: Gobind Gobind said that is the role of the Data Commission: to ensure Malaysia has the information and governance structures needed to move forward with new technologies. “In my view, this is how Malaysia progresses towards 2030 and its goal of becoming an AI nation.” Separately, in a statement, the Ministry of Digital is calling on all government agencies and depart ments to work in synergy to drive the digital transformation of the public sector through the implementation of the Public Sector Data Digitisation Policy (PPDSA) and the expansion of MyGDX (Malaysian Government Central Data Exchange) platform, led by the National Digital Department. Carrying the theme “Digital Automation through Technological Advancement, the launch of the policy and the platform underscores the ministry’s commitment as the lead driver of the national digital isation agenda, aimed at enhancing the efficiency of public service delivery. The ministry said PPDSA was developed to address the risks arising from inconsistencies in data gover nance and misaligned information across government agencies, which could undermine data integrity and the quality of critical decision making at the highest levels. The policy introduces standards focused on infrastructure, with He noted that US proposals for “super ambitious” renewable fuel targets for 2026 and 2027 could exceed domestic production capacity, forcing higher imports and tighter global competition for feedstocks such as soybean oil, canola and used cooking oil. Margins for US biomass-based diesel remain negative at about 20 to 30 cents per gallon, but Hammerschmidt said they would need to improve substantially if production is to rise in line with policy targets. In Europe, expanded mandates in road transport, maritime and aviation sectors are already lifting demand. However, he cautioned that the projected increase of 2.4 million tonnes in 2026 alone“is never going to happen” under current feedstock constraints, suggesting compliance costs and biofuel certificate prices will have to rise further. A key bottleneck is the availability of used cooking oil (UCO) and waste based feedstocks. “The entire biofuel

Gobind (centre) launching the public sector data digitalisation policy and the expansion of the public sector data-sharing platform MyGDX yesterday. With him are, from left, National Digital Department Director-General Nik Zalbiha Nik Mat, Deputy Minister of Digital Datuk Wilson Ugak Kumbong, Ministry of Digital Secretary-General Datuk Fabian Bigar and Ministry of Digital Deputy Secretary-General Ma Sivanesan Marimuthu. – BERNAMAPIC

government agencies, comprising 51 data provider agencies and 23 data user agencies, through 49 integrated systems. With more than 65 million API transactions recorded, the platform is facilitating the sharing of critical data, including civil servant profiles, higher education student information, passport verification, persons with disabilities status verification, and vehicle licensing and registration data. levels. Trade policies are adding another layer of uncertainty. Europe’s anti-dumping duties have shifted imports away from Indonesia to Malaysia while raising costs for European buyers by as much as 20%, Chevigny said. In the US, new tariffs and trade cases could reshape import flows further. Despite these pressures, demand for oleochemicals in personal care, food and pharmaceuticals remains resilient, broadly tracking global GDP growth. However, technical appli cations such as automotive and construction have softened. Overall, speakers agreed that policy-driven biofuel demand will continue to underpin vegetable oil prices into 2026, even as downstream sectors grapple with tighter margins and regulatory uncertainty. “The value is increasingly moving upstream,” Chevigny said, pointing to palm oil and feedstock suppliers as the primary beneficiaries of the evolving market dynamics.

covering data collection, matching and verification. The ministry said manual work flows, reliance on physical docu ments and fragmented information systems (data silos) are being replaced with an integrated digital system that enables real-time access from anywhere, while ensuring the security of stored personal data. Since its launch in December 2023, MyGDX has been utilised by 81 Samuel Chevigny, director of opera tions and broker at HBI and Oleoline Group. “Access to feedstock is the main competitive advantage and the key limitation for producers,” he said. From roughly 270 million tonnes of global vegetable oils and fats produced last year, only about 14 to 15 million tonnes were used to make fatty acids and fatty alcohols, just 5% to 6% of total output yet the sector faces mounting pressure. Global fatty acid capacity stood at about 15.8 million tonnes last year, but production was only 9.9 million tonnes, implying a utilisation rate of just 62%. Chevigny warned that additional capacity, including around 780,000 tonnes of new fatty alcohol capacity, risks further margin com pression. “The demand is not strong enough to absorb all this new supply,” he said, adding that high feedstock prices are already squeezing fatty acid margins, with some producers operating at negative theoretical contribution

emphasis on the validity and reliability of shared data, as well as long-term system sustainability. The successful implementation of the policy opens the door to the adoption of agentic artificial intel ligence (AI) technologies, supported by a digitally competent and skilled civil service, it said. Meanwhile, MyGDX has been expanded to enhance existing systems across government agencies, policy assumes waste oils are unlimited. They are not, at least not at current prices,” he said, noting that global UCO balances have already tightened sharply. Indonesia, meanwhile, achieved a record biodiesel blend rate of 39.2% in 2025 after moving from B35 to B40. But fiscal pressure from the high palm oil-gasoil price gap has led the government to hold production quotas steady and raise export levies to fund subsidies. “That means palm oil will stay in the country and not be available to importers,” Hammerschmidt said, adding that the move is not outright bearish but will limit global supply growth. On the laurics side, Dr Sathia Varqa, managing editor at Fastmarkets, said coconut oil (CNO) continues to trade at a premium over palm kernel oil (PKO), often by US$400 per tonne or more, limiting substitution flexibility for oleochemical producers. Feedstock sourcing has shifted from being cyclical to structural, said

Ű BY DEEPALAKHSMI MANICKAM sunbiz@thesundaily.com ‘Vegetable oil markets to tighten through 2027 on biofuel mandates’