Championing sustainability and innovation globally


FGV drives sustainability with Felda settlers and smallholders producing 70% of its palm oil.

AS we leave 2024 further behind, FGV Holdings Bhd (FGV) can look back on a journey underpinned by its commitment to sustainability, ethical practices, pursuit of innovation and responsibility towards community empowerment.

Commitment to responsible, innovative growth

In line with this commitment, FGV substantiates its dedication to delivering value to stakeholders with the release of its Q3 FY2024 results which highlight a 26% revenue growth to RM6.18bil from RM4.91bil in Q3 FY2023.

Profit After Tax and Minority Interests (PATAMI) also rose to RM87mil from RM32mil. Back in July 2024, FGV launched its enhanced Sustainability Framework, underscoring its dedication to sustainable growth.

The presence of Deputy Prime Minister Datuk Seri Fadillah Yusof, who is also the Energy Transition and Water Transformation Minister, underscored the importance of FGV’s enhanced Sustainability Framework and the Group’s contribution towards national efforts in realising the relevant Sustainable Development Goals (SDGs).

As a key player in the global palm oil scene, FGV has long recognised the importance of balancing economic success and environmental responsibility as well as its responsibility to the Felda settlers and smallholders who produce 70% of its palm oil fresh fruit bunches (FFB).

The five-pillared framework reflects the company’s commitment to strengthening sustainability practices across its supply chain, promoting innovation and championing governance, reducing its carbon footprint, and promoting social welfare within the communities it serves. By focusing on sustainable growth, FGV aims to lead by example in transforming the agricultural industry and supporting Malaysia’s broader sustainability goals.

As a responsible company, FGV is committed to promoting gender equality and empowering women within its operations chain, in line with the company’s diversity, equity, and inclusion (DEI) agenda.

Today, almost half of its Board of Directors consists of illustrious women leaders, alongside the representation of five women in its current senior leadership team.

Additionally, FGV made history by appointing its first female mill manager. Also in pursuit of its sustainability aspirations, the company began the year on a strong note by reaffirming its dedication to transparency and accountability – addressing the Withhold Release Order (WRO) issued by the US Customs and Border Protection (CBP) on its palm oil products.

As the year unfolded, FGV intensified its efforts to address the WRO via a formal petition submitted on June 30, 2024.

Over the years, FGV implemented a comprehensive remediation plan to close identified gaps in its labour practices and to align its operations with internationally-recognised ethical labour standards. Key components of FGV’s remediation plan involved reimbursement of recruitment fees to its former and current migrant workers, strengthening of FGV’s grievance mechanism and procedures in the appointment of its recruitment agencies.

In addition, significant investments were also made to improve workers’ welfare and enhance their living conditions with RM605mil dedicated to infrastructure upgrades between 2024 and 2026.

Excellent employee engagement and empowerment exercises across the Group naturally led to scores of accolades.

Some of the notable awards received in 2024 include the Best Employer Award by Human Resource Development Corporation (HRDCorp), Distinguished Partnership Award for Corporate Workplace and Community Outreach by AKPK Collaborators Award 2023/2024, the GRADUAN Brand Award (Conglomerate Category) by GRADUAN, as well as the Appreciation Award for Industry Strategic Partnership by the state government of Pahang.

A major milestone towards sustainable practices is the production of FGV’s first European Union Deforestation Regulation (EUDR)-compliant Crude Palm Kernel Oil (CPKO) in August. FGV’s ability to produce EUDR-compliant CPKO elevates its standing in the international trade arena, providing an added and significant edge in a competitive and rapidly evolving market.

Enabling food security via community empowerment

The national food security agenda remained front and centre for FGV in 2024, focusing on delivering product accessibility, innovative distribution, and local smallholder empowerment to contribute towards a secure, resilient supply chain.

In 2024, FGV reinforced its commitment to making essential food products widely accessible through its trusted consumer brands – Saji, Adela, Seri Pelangi, Gula Prai, Ladang’57 and Bright Cow – by launching KedaiFGV.com, an online platform that simplifies access to locally sourced items such as rice, dairy products, cooking essentials, and fresh produce.

Hari Peneroka 2024, which was held from July 12 to 14, was an eventful highlight where FGV made headlines with its key launches and consumer product promotions.

Saji’s award winning campaign, “Setitis Minyak, Sejuta Senyuman” celebrates local planters and the love story between Malaysians and palm cooking oil.

Saji also won the 2024 Kancil Award for its “Perajurit Dapur” campaign which revolves around consumer appreciation and community building, besides other accolades for other Saji’s campaigns.

The year also saw FGV launch its inaugural, highly successful Merdeka campaign entitled “Teruskan Meneroka”, which showcases how Malaysians are progressing and continuing to explore new opportunities for a better and more sustainable future while fostering a sense of national unity and shared progress.

The short clip also gave special recognition to the unsung heroes, Felda settlers and smallholders, who “explored” the estates and plantation areas in contributing to the economic growth of the nation via the palm oil industry.

To help promote sustainable practices in the palm oil industry, FGV signed a strategic collaboration with Malaysian Sustainable Palm Oil (MSPO) in March 2024 to promote the latter’s certification label on Saji cooking oil products.

Aside from being the first to feature the MSPO logo on its Saji label, the addition of the MSPO logo benefits FGV by boosting consumer trust, accessing ecoconscious markets and demonstrating compliance with stringent MSPO standards.

Also at Hari Peneroka 2024, FGV launched its Vendor Development Programme (VDP) with the aim of empowering local vendors in enhancing their competitiveness and capabilities, subsequently building a resilient, cost-efficient vendor ecosystem.

On the innovation front, FGV unveiled its Fract750 Refinery Plant at Kuantan Port, Pahang. More than a simple operational upgrade, the Fract750 Refinery plant marked the company’s entry into the premium product segment with high IV Olein (IV60-IV65) and hard stearin.

Its inauguration also accelerates local economic growth and employment opportunities in Kuantan, while attracting further potential investments and business opportunities.

Strengthening foundations for the future

As FGV looks ahead, it also celebrated the 55th anniversary of a distinguished legacy of innovation and sustainability – its Pusat Penyelidikan Pertanian Tun Razak (PPPTR), which produced the world’s first palm tree lysimeter in 1975.

It is Malaysia’s largest palm oil seed producer, at 30 million seeds annually. Signalling its drive to continuously pursue innovation and progress, PPPTR unveiled the Yangambi Platinum S3 clonal seed, which will enable mass propagation of elite and high-yielding oil palm planting materials.

Separately, FGV sowed a different kind of seed for the future through its sponsorship of the Bright Cow Junior Cup 2024, in partnership with the National Football Development Programme (NFDP), an initiative under the National Sports Council of the Youth and Sports Ministry. The partnership powered the NFDP Carnival 2024 to unearth new football talent for the country’s sports development.

FGV continues its corporate zakat contribution with RM9.8mil paid to state zakat organisations for the fiscal year 2023. Its wakalah zakat amounting to RM10.1mil from 2023 have been channelled via its corporate social responsibility (CSR) initiative, “FGV Seikhlas Hati” and benefited underprivileged groups across Malaysia. An offshoot exercise of “FGV Seikhlas Hati” saw urban poor communities enjoying FGV’s “Pek Rahmah”.

By December 2024, 10,000 discounted food packs containing basic food items such as cooking oil and sugar had been distributed to homes in 10 selected People’s Housing Projects (PPR) across the Klang Valley.

Internally, FGV also saw a reshaping of its leadership with the pivotal in-house appointment of Fakhrunniam Othman as group chief executive officer.

His familiarity with FGV’s internal landscape and proven leadership profile propelled Fakhrunniam to supercharge FGV by prioritising the delivery of value to stakeholders, seizing revenue opportunities, enhancing operational efficiency, and strengthening core businesses.

Fakhrunniam kicks off his tenure with a strong, financially resilient ship. In the third quarter that ended on Sept 30, 2024, FGV recorded revenue of RM6.2bil and profit before tax (PBT) of RM157mil – about double its PBT in the previous corresponding period.

A promising 2025

FGV’s achievements in 2024 have laid a strong foundation for its goals in the coming years. With a relentless focus on ethical practices, sustainability, and innovation driving its growth agenda, the company is poised to redefine industry benchmarks in these areas in 2025 and beyond.

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