
Sarawak Plantation exceeds replanting target
This achievement, according to executive director Datuk Wong Kuo Hea, was the result of meticulous planning and efficient execution, exceeding the company's replanting target by 5%.
He added that RM54mil in capital expenditure was incurred on replanting and maintaining the group's existing immature estates in 2024.
This was more than double the RM25.1mil spent on the replanting programme and estate maintenance in 2023.
'Replanting is a significant milestone for the group because it ensures long-term sustainable growth. Low-yielding old mature fields, as well as severe ganoderma infested areas, are replanted in stages.
'These areas were replanted with high-yielding seeds and are expected to drive up production growth in the coming years,' he said in the company's 2024 annual report.
The high-quality seeds used were sourced from Sarawak Plantation's own nurseries, which also saw an 86% increase in sales, reaching 930,000 seeds to external parties last year compared to 2023.
As one of the pioneers in Sarawak's oil palm industry, the Miri-based group has a total landbank of 42,166ha, with an additional 412ha under a joint-venture development with a state agency.
The plantable area totals about 36,232ha.
Currently, the group owns 13 oil palm estates and two palm oil mills across northern and central Sarawak.
Sarawak Plantation is an associate of Ta Ann Holdings Bhd , its largest shareholder with a 29.4% equity interest.
Wong, also managing director/CEO of Ta Ann, noted that Sarawak Plantation had successfully normalised almost the entire 6,000ha of oil palm areas identified in 2018 for improvement and enhancement, including 400ha rehabilitated last year.
The remaining 20ha are expected to be normalised this year.
On areas of the group's plantations which were encumbered by local villagers, Wong said via engagements with them, the group successfully resolved 100ha last year, bringing the total recovered area to some 4,300ha since 2018. Around 2,100ha of matured areas remain encumbered.
Despite the challenges in recovering these areas, the group remains dedicated in rehabilitating all, or at least the majority, of these areas.
In 2024, Sarawak Plantation declared 1,500ha of oil palms as matured, with young mature palms (four to six years) accounting for 9% and prime mature palms (seven to 20 years) comprising 59%. Immature and old mature palms (over 21 years) made up 25% and 7%, respectively.
Sarawak Plantation also launched its own-designed and developed oil palm harvesting machines called 'Lipan' last year, as it shifts towards field mechanisation from the traditional labour-intensive harvesting method.
These machines are equipped with wireless control, enabling operators to manage the harvesting process easily and efficiently.
Another research initiative currently in trial is a six-wheeler, adopted from logging operations and modified to navigate rugged and hilly terrains for fresh fruit bunch (FFB) evacuation.
Once further design iterations are completed, these machines are expected to serve the group's new planting areas, which are being designed for mechanisation in the future.
Wong said the group is expanding the use of 'Lipan' in suitable harvesting areas and will continue to monitor and enhance their performance.
Currently, 10 harvesting machines are operational across the group's plantations.
'Embracing mechanisation for harvesting and other field operations is a sustainable approach to reducing labour dependency. The group also believes that mechanisation offers many benefits, including increased efficiency and enhanced sustainable practices.'
He said Sarawak Plantation's action plans for 2025 include executing effective replanting strategies to optimise planting density and expand harvesting path for future mechanised opportunities, while maintaining the yield potential of the oil palms.
The group is also accelerating replanting efforts in low-yielding areas, regions severely affected by Ganorderma infestation, and areas with low palm stands, alongside recovering more encumbered areas and old mature fields.
It plans to expand the facilities and production capacity of its three oil palm nurseries, which currently have the capacity to grow up to 1.2 million seedlings a year.
The high-yielding and genetically superior seeds, branded 'Surea DxP', have shown to produce high FFB and oil yields.
These seeds have been tested and confirmed to exhibit a moderately slow height increment, Wong added, ensuring stable yields over time while minimising the risk of disease outbreaks in the estates. — By JACK WONG
Hashtags

Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles


New Straits Times
8 hours ago
- New Straits Times
Malaysian SMEs band together at CEO Connects 2025
KUALA LUMPUR: Malaysian small and medium enterprises (SMEs) are coming together to tackle mounting global economic uncertainties through CEO Connects 2025 conference. The event aimed to foster strategic partnerships, share insights on pressing business challenges, and empower SMEs to thrive amid shifting trade dynamics, ESG demands and financial constraints. Supported by Media Prima Bhd, EcoWorld and the SME Association of Malaysia, the conference featured a lineup of panels, keynote talks and networking sessions conducted in Chinese. "We're proud to present Boss Never Off as part of our mission to amplify authentic business stories," said Media Prima Omnia chief operating officer Stephanie Wong during the conference here today. Wong added that the new show reinforces Media Prima's role in championing local business narratives. The upcoming 8TV business reality series, officially launched at the event, aims to highlight the personal and professional journeys of SME founders across the country. One of the key voices at the conference, SME Malaysia president Dr Chin Chee Seong addressed rising cost pressures and evolving policy challenges affecting the SME sector, particularly in light of the recent Sales and Service Tax (SST) increase. "SMEs are not only the backbone of the economy but also its heartbeat. Whether it's ESG or financing gaps, these are pressing issues that cannot be solved in isolation," he said. In a series of knowledge-sharing sessions, University of Nottingham Malaysia associate professor Dr Xiao Saizi delivered a keynote titled "Malaysia Amid Trade Wars – Crisis or Opportunity?", highlighting how SMEs can turn geopolitical risks into new growth opportunities. A fireside chat moderated by XiaoMa explored the topic "Are Malaysian SMEs Ready for the ESG Era?", featuring Malaysia ESG Association president Prof Cheah Kok Hoong. The discussion examined how SMEs can turn ESG compliance into a competitive edge. The agenda also included a panel discussion with leaders from SME Malaysia, the Malaysia Cross Border E-Commerce Association, and PLC Advisory Group, who addressed digital trade, financing gaps, and workforce challenges. The half-day event, held at Menara EcoWorld centred on the theme "Lead, Connect, Succeed — Your Gateway to 2025's Business Opportunities," reflecting its mission to strengthen the SME ecosystem through strategic dialogue and collaboration.


Borneo Post
8 hours ago
- Borneo Post
RM13 million agriculture, livestock projects launched to boost food security
Arthur (centre) with the MoU signatories. KOTA KINABALU (Aug 1): The signing of three Memorandums of Understanding (MoUs) between various parties here today marks the launch of agriculture and livestock projects worth RM13 million, aimed at enhancing sector growth and strengthening the country's food security. The first MoU, between the Farmers' Organization Authority (LPP) and Desa Keningau Livestock Industries Sdn Bhd (DKLI), involves a project to boost local grain corn production through a corporate approach and transfer of technology (ToT). Under the five-year partnership, LPP will provide land development and machinery support using a matching grant of RM3 million, while DKLI will oversee planting, planning and implementation. The second MoU, between the Keningau Area Farmers' Organisation (PPK) and Absolute Moringa Sdn Bhd, focuses on a RM10 million agricultural input marketing initiative. This collaboration aims to enhance PPK's services in Sabah by supplying higher-quality agricultural inputs to increase yields and improve business operations. Meanwhile, the third MoU was signed between LPP and Sawit Kinabalu Farm Products Sdn Bhd (SKFP) for a ToT-based integrated cattle breeding project. SKFP will serve as a reference model and provide technical expertise, while LPP coordinates implementation at the Farmers' Organization level. Deputy Agriculture and Food Security Minister Datuk Seri Arthur Joseph Kurup, who witnessed the exchange, said the initiatives would reduce Malaysia's dependence on imported products such as grain corn. He said the projects are expected to expand accessibility for breeders and lower food prices, especially for livestock. 'This collaboration between the government and private sector is crucial to ensure the economic benefits reach local communities,' he said. Arthur also praised the initiative for supporting Malaysia's target of achieving 50 percent self-sufficiency in the ruminant industry by 2030, up from the current 16 percent.


New Straits Times
10 hours ago
- New Straits Times
Inari, Sanan jointly acquire Lumileds International for RM1.03bil
KUALA LUMPUR: Inari Amertron Bhd and Sanan Optoelectronics Co Ltd have jointly acquired 100 per cent equity interest in Lumileds Holding BV (Lumileds International) and its 11 Asian and European subsidiary companies for an enterprise value of US$239 million or equivalent to RM1.03 billion. Inari said in a filing with Bursa Malaysia that the company together with Sanan today entered into a share purchase agreement (SPA) with Dutch-based Lumileds Subholding BV for the proposed acquisition. Lumileds International was incorporated on Oct 30, 2014 in Amsterdam, the Netherlands and is a globally recognised leader in the LED industry, specialising in the production and sales of mid-to-high-end LED products. "The proposed joint acquisition will strengthen Inari group's existing captive business strategy while enabling the company to expand and enhance its current product portfolio. "This strategic move will allow Inari group to diversify its product offerings and customer base, thereby creating additional revenue and earnings streams," it said. Inari had also entered into collaboration agreement (CA) and shareholders' agreement (SHA) with Sanan for the purpose of regulating the respective rights and obligations in Lumileds International and the relationship with one another upon completion of the proposed joint acquisition. It said a special purpose vehicle will be incorporated in Hong Kong (HK SPV) and co-owned by Sanan (74.5 per cent) and Inari (25.5 per cent), either directly or indirectly through their respective wholly owned subsidiaries, and the HK SPV will undertake the proposed joint acquisition. In addition to the capital contribution towards the payment of the enterprise value, Inari and Sanan have agreed to inject a further estimated US$41 million (RM176.3 million) into HK SPV and/or Lumileds International for working capital purposes. This brings the total investment outlay for the proposed joint acquisition and estimated working capital to US$280 million (RM1.2 billion).