After a dip in 2005, when GDP growth slowed and inflation rates reached their second highest level in almost seven years, forecasts for 2006 are optimistic, and Malaysia remains an excellent place to do business for a number of reasons. There are abundant natural resources, including oil and natural gas – the feedstocks for a well developed petrochemical industry. In addition, Malaysia’s landscape is dotted with oil palm plantations, making it the world’s largest producer and exporter of palm oil. Production of crude palm oil (CPO) was around 15 million metric tons in 2005, accounting for 48% of production worldwide. The abundance of palm oil in Malaysia has attracted the major players in the oleochemicals market, who are present among Malaysia’s 48 oleochemical refineries, most of which are concentrated in the southern state of Johor. The country has a global share in excess of 20% of the oleochemicals market, as well as being the leading exporter of basic oleochemicals, such as fatty acids, glycerin and soap noodles, in the world.