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Our Plantation Division is involved in the cultivation of oil palm and the processing and trading of palm oil and related products. The division manages 12 oil palm estates on 37,000 hectares, with planted hectares of 32,709 hectares, 95% of the planted hectares is matured plantation and the balance has been fully replanted. Our next replanting, scheduled to start in 5 years time, will be paced at a constant 5% of the area per annum. Meanwhile, over the next few years, the division will reap the reward of its earlier investment without incurring any replanting cost.
This division owns two palm oil mills with an annual processing capacity of 600,000 metric tonnes of fresh fruit bunches ("FFB"). These mills are dedicated to milling the harvest from our own plantations. Both mills have been refurbished and upgraded in 2007 and 2008 enabling the Group to enjoy higher throughput at a lower operational cost.
In the estates, we have introduced the latest agronomic advances in oil palm cultivation concentrating on the best sustainable pratices in estate management including effcient use of water and nutrients, and stricter harvesting and processing routines. The aim of our agronomic programmes is to continuously improve production yields and profitability. |
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