The Global Agricultural Information Network (GAIN) of the United States Department of Agriculture (USDA) recently released its 2010 Biofuels Report for Malaysia. Among the highlights of the report are: (1) the Government of Malaysia (GOM) wants to develop Malaysia's "niche in palm oil biotechnology" to harness technological achievements in this area for commercialization. Research and development activities in the field have been undertaken by the Malaysian Palm Oil Board (MPOB). It already has a number of biotechnological advances and product development achievements in palm oil and palm oil biofuels. One is the development of a "low pour point palm oil biodiesel"; (2) Malaysia has expressed concern over a directive by the European Union (EU) to set sustainability criteria for biofuels. The EU directive states that the biofuel material should reduce greenhouse gas (GHG) emissions by 35 percent by November 2010. Palm oil, as assigned by the EU, has a "default GHG savings value of 19%, resulting in its elimination from the EU's list of qualified biofuels". Malaysian palm oil producers claim that their lifecycle assessment studies over the past two years have indicated that the GHG savings value of palm oil is actually 50% with the use of methane gas capture technology at the mill level. Malaysia and Indonesia are reported to be considering bringing the issue to the World Trade Organization (WTO); (3) Jatropha is seen as a promising alternative biodiesel feedstock with "excellent small-scale potential" in Malaysia. However, further research is needed; the Malaysian Government is reported to allocate funds for research and development for this bioenergy crop; (4) ethanol production in Malaysia is "commercially insignificant", but there is an opportunity for ethanol production from palm oil biomass, when the technology is ready for commercialization. Other highlights can be obtained from the full report, which can be accessed at the USDA-GAIN website (URL above).