AIREI Sdn Bhd has recently launched its 2nd artificial intelligence (AI) – based smart palm oil mill, this time with a significantly larger capacity of 60 tonnes per hour, up from 45 tonnes per hour at its first mill.
AIREI mentioned that the launch held at Perak Motor Co (PMC Oil Mill) in Teluk Intan saw AIREI’s proprietary AI system deployed alongside a new partnership with the Malaysia Digital Economy Corporation (MDEC).
The partnership marks further development of AI and its role in the palm oil industry in Malaysia.
AIREI Perak Motor Palm Oil Mill Division Managing Director Steven Yow Thin Chin said less than 2 years after unveiling the world’s first AI-based smart palm oil mill, AIREI’s return with a bigger deployment and a national digital agency by its side signals that the technology is moving from proof of concept towards standard practice on the mill floor. He said, “At the end of the day, a mill is measured by its oil extraction rate (OER) and this system has made a real, measurable difference on that front, with OER improving in the range of 0.1 to 0.2 per cent. This was made possible by AI, which eliminated human error and removed much of the guesswork that used to shape how we plan our operations.”
MDEC CEO Anuar Fariz Fadzil said that palm oil, as a strategic national commodity, stood to benefit significantly from greater digital and AI adoption. The deployment at AIREI shows how AI can improve operational efficiency, optimise resources and deliver better production outcomes.
In addition, AI has also delivered a 20% reduction in foreign operator dependency within the first month of implementation, with the reduction projected to reach 40%, while standard operating procedures are consistently followed, reducing dependence on individual operator judgement.
AI has also allowed the management to gain better visibility into mill performance, identify operating issues and address them quickly.
AIREI Founder and CEO Surendran Kuranadan said the goal in deploying the new system is to prove that it is feasible to implement AI to a palm oil mill operation.
AIREI mentioned that interest in their AI-based model is extending well beyond Malaysia’s borders as ASEAN neighbours Indonesia and Thailand, both major palm oil producers, are following developments closely, as are Latin American producers including Mexico and Colombia, where palm oil cultivation is expanding rapidly. These markets are exploring adoption of similar AI-based models with an expectation of achieving ROI within 18-20 months.
Malaysia is currently at the forefront of this new AI-based palm oil mil technology.
AIREI is a dynamic multinational company based in Malaysia and India, specialising in pioneering solutions that utilise big data analytics, artificial intelligence (AI), supply chain traceability, and hyperledger fabric blockchain technology as they focus on innovative palm oil solutions through secure software platforms and excel in customised robotics development.