FGV Holdings Berhad refers to an article published on 3 July 2018, by Berita Harian Online, titled “FGV Holdings jangan guris hati peneroka – ANAK”
FGV Holdings Berhad is proud of its roots which run deep in Malaysia’s first smallholder programme established under the Federal Land Development Authority (Felda). FELDA, was established as a poverty alleviation programme and achieved remarkable success, especially in the early years.
FGV itself has its genesis in Felda and till today continues to work closely with smallholders and settler families, offering the critical link between farmer and marketplace. In fact, FGV is acknowledged as one of the largest supporters of smallholders in the world.
Today, six years after FGV’s listing on Bursa Malaysia, FELDA remains our largest shareholder and an important stakeholder, as are the settlers.
FGV is determined to champion the cause of all smallholders on the international stage, especially at a time when the industry’s license to operate is being challenged for a number of reasons.
FGV has always respected the position of our smallholder suppliers, including the settlers and will work hard to preserve and strengthen the bond we have with our smallholders.
FGV supports more than 112,000 FELDA settlers who produce and supply a third of our fresh fruit bunch (FFB). Another third of FGV’s production is from 350,000 ha of plantations that are managed by FGV under a Land Lease Agreement (LLA) with Felda.
FGV pays FELDA RM 250 million annually for the leasing of this land. In addition to that, FGV also shares 15% of it’s annual profit from the LLA-related land with Felda. Noteworthy to mention that every year since our listing, FGV has never failed to pay dividends to its shareholders.
FGV would also like to clarify that as at 1 June 2018, KPF owns 5.15% shares in FGV, which is 187,966,608 shares, not 800 million shares as reported.
We will continue to work towards ensuring all shareholders benefit from FGV’s growth and success.
Dato’ Zakaria Arshad
Group President & Chief Executive Officer
FGV Holdings Berhad