FGV targets 22% oil extraction rate by 2020

JEMPOL, 17 Mac -- Pengerusi Felda Global Ventures Holdings Bhd (FGV) Tan Sri Mohd Isa Abdul Samad melihat buah sawit yang dipamerkan sempena majlis pelancaran Kempen Meningkatkan Kualiti Buah Tandan Segar (BTS) Peringkat Nasional di Kilang Serting Hilir hari ini. Turut hadir Presiden dan Ketua Pegawai Eksekutif Kumpulan FGV Datuk Zakaria Arshad (dua, kanan). --fotoBERNAMA (2017) HAK CIPTA TERPELIHARA

JEMPOL: Felda Global Ventures Holdings Bhd (FGV) has targeted to achieve an oil extraction rate (OER) of up to 22% by 2020, compared to the 20.73% average rate last year.

Chairman Tan Sri Mohd Isa Abdul Samad said this would be able to raise the incomes of the settlers and the smallholders. 

“In order to achieve this target, we have to increase the quality of the fresh fruit bunches (FFB) supplied to the mills to be processed.

“This is why we are conducting a nationwide campaign to educate plantation management, settlers and smallholders on the aspects of planting and (choosing) seeds,” he said.

He told reporters this after officiating the FFB Quality Improvement Campaign 2017 in Felda Serting Hilir in Jempol on Friday.

Also present was FGV president/group chief executive officer, Datuk Zakaria Arshad. 

Mohd Isa said the campaign also aimed to teach the settlers and smallholders not to send in unripe fruit bunches, as it would cause a loss to FGV, the mills as well as the settlers themselves. 

“We want to avoid unripe fruit bunches as the Malaysian Palm Oil Board (MPOB) does not allow for it to be processed, and even if they were processed, there wouldn’t be much oil,” he said.

He said that FGV had suffered RM80milin losses last year due to settlers sending in unripe fruit bunches which could not be processed.

Zakaria said that information on the quality of FFB was important, as there had been some confusion with regards to the grading methods and the price paid.

“There are several factors which affect the quality of FFB, which include unripe and rotten fruits.

“We are committed to share our experience and expertise with the suppliers to ensure the best FFB quality and at the same time increase their earnings,” he said.

The nationwide campaign, themed Quality FFB Brings Higher Returns, aims to encourage FFB suppliers to strive for the specified quality, which is 100% fresh ripe fruits in accordance with MPOB’s Oil Palm Fruit Grading Manual.

FFB suppliers were also briefed on the grading system, factors of penalties as well as the role of the Quality Improvement Consultative Committee in determining the quality of the FFB. - Bernama