The impact of activity associated with palm oil industry to the economic growth in Malaysia / Nurul Nazihah Alion @ Jeffry

The research study seek to determine the relationship between production of palm
oil, import of palm oil, export of palm oil and Malaysia’s economic growth. Industry of
palm oil is significantly contributes to development of countries’ economic growth. This
study aims to examine whether palm oil industry including production of palm oil, import
of palm oil and export of palm oil gives impact toward Malaysia’s economic growth. Data
used in this study is time series data within 38 years starting from 1982 until 2019. Research
has shown that production of palm oil is related significantly toward Malaysian economic
growth. In addition, Johansen-Juselius Cointegration Test shows that at least one
cointegration among the variables at 1 lag and long-run relationship is exists among the
variables. Further research needed to be carried out to identify other variables that could
contributes to the country economic growth.