STAYING ON TOP: FGV aims to triple CPO output to 8.7 million tonnes by 2020
FELDA Global Ventures Holdings Bhd (FGV) aims to consolidate its position as the world’s number one crude palm oil (CPO) producer by almost tripling output to 8.7 million tonnes a year in 2020, from 3.2 million tonnes at present.
The plantation giant, which owns 457,000ha of oil palm plantations, also wants to almost double its landbank to 925,00ha by expanding locally and abroad.
Executive vice-president, chief executive officer and head of FGV plantation cluster Abdul Halim Ahmad said steps are being taken to solidify its position, such as looking for greenfields, brownfields and employing the latest planting technologies.
“The plantation cluster is the most important among FGV’s six clusters and we are very serious in going global to expand our plantations,” he said here on Monday.
FGV reorganised its operations last week into six clusters comprising upstream, downstream, sugar, rubber, research and development and transport, logistics, marketing and others as part of its efforts to become one of the world’s top agribusiness firms.
“In terms of social stability and poverty eradication, palm oil is the most efficient oil in the market and we want to play a role in supplying it,” said Abdul Halim.
He added that a hectare of oil palm can produce five tonnes of oil a year, compared to soyabean which can only produce half a tonne a year and requires more land.