Higher ESG costs for planters

However, the impact of higher ESG costs could be reduced if “local planters can significantly boost productivity via higher fresh fruit bunch yields,” said CGS-CIMB Research in its latest report.

PETALING JAYA: A higher environmental, social and governance (ESG) compliance and monitoring costs could somewhat undermine the performance of local plantation companies moving forward.

This will make local planters less cost-competitive compared with their regional peers, says CGS-CIMB Research.