FGV Annual Report 2017

FELDA GLOBAL VENTURES HOLDINGS BERHAD UNDERSTANDING OUR BUSINESS CONTEXT 38 OUR PERFORMANCE BY SECTOR: PLANTATION Management Discussion & Analysis ABOUT THE SECTOR Who We Are and What We Do As the world’s third largest oil palm estate operator, our Upstream cluster manages a total landbank of 440,577 Ha with a planted area of 354,939 Ha (palm and rubber) across Malaysia and Indonesia. Annually, the Group produces around 3 million MT Crude Palm Oil (CPO) through 69 mills, all located in Malaysia. Our Downstream operations further refine CPO into a variety of palm oil-based products e.g. cooking oil, frying fats, industrial and specialty fats, and oleo derivatives. Through our flagship brand, SAJI, we managed to capture 35% of the domestic cooking oil market. Our Research & Development and Agri-Services (R&D) cluster, meanwhile, helps to enhance FGV’s core business through our award-winning planting material, Yangambi. It also produces fertiliser and rat bait (known as BUTIK) to improve our agricultural yield. The consolidation of Upstream, Downstream and R&D clusters will elevate synergies and enhance the decision- making process throughout our palm value chain. In 2018, FGV Trading Sdn Bhd (FGVT) will be grouped under Logistic and Support Businesses Sector to introduce greater efficiencies and enhance its focus in executing the supporting functions. Market Destinations Trading: China, Pakistan and India Downstream: Malaysia, China, United States (USA), United Kingdom (UK), the Philippines, Laos, Pakistan, Myanmar, Cambodia, Afghanistan, Japan, Australia and India Seeds: Malaysia, Indonesia, the Philippines, Papua New Guinea, Sri Lanka and Thailand Fertiliser: Malaysia and Indonesia FGV is a market leader in producing high-yielding planting materials.