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The palm oil industry fared better in 2021 compared to 2020, despite lower crude palm oil (CPO) production due to labour shortage and a restricted supply of CPO during the COVID-19 pandemic. As the industry recovers, research and development (R&D) activities remain dedicated towards ensuring the industry is sustainable and competitive. In the upstream sector, efforts continue to be focused in increasing the CPO yield per hectare through precision agriculture, advanced genomic technologies and improved breeding programmes, control of pest and diseases, as well as farm mechanisation. In the midstream sector, there were some improvements in mill productivity, that reduce the environmental impact of the milling operations.