Pioneering breakthrough palm- based products for new markets in high growth sectors
Palm Downstream Cluster safeguards the upstream operations by providing a guaranteed uptake of CPO for palm-based downstream activities which include oleochemicals, biodiesel, oils, fats and fast moving consumer goods (FMCG).
Leveraging on his secured pipeline of CPO feedstock, we are able to advance and expand the potential of palm oil by producing innovative and wider profit margin products such as Tocotrienol, Graphene and specialty fats and other palm based derivatives. These have paved our way into new market segments in the high growth sectors of Aviation, Oil & Gas, Cosmetics and Food Application.
Since its establishment, the Palm Downstream Cluster has achieved continuous milestones, and the momentum continues.
Today, it is a market leader in the biodiesel industry with a biodiesel refinery in Malaysia that produces certified Palm Methyl Ester for local and international markets such as Europe, United States and China.
Its Saji-branded cooking oil has successfully penetrated the cooking oil market in Myanmar, Philippines, Laos, Cambodia, Vietnam and Afghanistan. The specialty fats and FMCG product line continues to grow with the introduction of a variety of consumer products including instant noodles, mayonnaise, creamer, vanaspati and peanut butter.
Via strategic investment in Twin Rivers Technologies-US, FGV’s fully owned subsidiary in the United States; and existing homegrown Felda Procter & Gamble (FPG), a joint venture, a with Procter & Gamble in Malaysia, FGV is optimising an increasingly viable oleochemical business.
Through FGV Cambridge Nanosystems Limited (FGV CNS), FGV currently produces high technology products based on carbon nanotubes for super high strength, lightweight, high conductivity applications in electronics, aeronautical, oil & gas and automotive industries.
FGVD has entered into a joint venture with Lipidventure Sdn Bhd (LVSB) in producing Tocotrienols (Vitamin E). Capable of producing 75,446 kg of high quality Tocotrienols per year, the new purification plant at Kuantan integrated Biopark is expected to be the largest plant of its kind in Malaysia once operations start in 2016.
Products will be marketed to countries like U.S, Japan, Australia, China and India. Higher end products like Tocotrienol capsule and Tocotrienol products for food and beverage industries are also in the pipeline.
KEY GROWTH TARGET: FGV aims to steadily strengthen its market share in the global oleochemicals, oils and specialty fats and FMCG markets
Palm Downstream Cluster strives for a leading position globally in industrial fats and regional heavyweight status in palm- based consumer goods. We are also pursuing a significant market share in the biodiesel and renewable energy market globally.
Our portfolio of consumer goods continues to grow: by both adding to our already- popular products in Fast Moving Consumer Goods (FMCG), as well as entering into new arenas. Our staple products, Saji, Tiga Udang cooking oils and Seri Pelangi margarine, are now complemented by new brands such as Sunbear peanut butter, Adela margarine spread and Sajimee instant noodles.
We have also recently introduced a personal care brand, Purich, on our journey to achieve a top five position in Consumer Goods across South East Asia and South Asia.
Moving forward, our downstream business also aims to capture higher margins and high-growth products in the specialty ingredients segment and optimise our oleochemical position by maximising our position in the United States as the third largest oleochemical producer in North America (TRT US) and existing partnership with Procter & Gamble (P&G) in Malaysia.
Palm Downstream’s Subsidiaries
* The list of subsidiaries is not comprehensive. Further details on the equity shareholdings of FGV in its subsidiaries can be referred to in the Financial Statements
# Joint ventures or Associated company