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CHIEF CONSULTANT - Keynote

Our pool of consultants shares the same motivation which till today drives us to strive to continue providing our services to the betterment of the Palm Oil Industry. We are reminded of that very motivation every time we drive pass estates located along the prime highways or main roads which we frequent. Simply put, the standards of estate management looks to be in decline as the poor state of the plantations are clearly visible from the main roads/ highways.

The older consultants with decades of experience within our group have in their own way contributed to the development of the Malaysian Standard of Cultivation of Oil Palm. To bare witness to the declining standards of estate management is unbearable. This motivates and drives us towards our vision of A Excellence in the Provision of Agricultural Based Management Services.

A quick look at the current status of the Oil Palm Industry and market sentiments will entail the following; rising costs of fuel, fertilizer and labor; scarcity in high yield land and labor; erratic weather conditions; strong competition from alternative fatty oils; engineered bad publicity on the attributes on the by products of Oil Palm; more stringent quality requirements on byproducts; etc., question the viability of the Oil Palm Industry.

This further stresses the requirement of high standards of Agricultural Management both to maintain the status of ‘Malaysian Palm Oil Cultivation' and to meet the competitiveness of the global arena.

Many planters today are accustomed to or adopt the plantation methods used in the A colonial plantation' era. True, the heydays of Harrisons & Crosfields, Dunlop, Guthrie, etc. set the standards in the past. However, today's environmental challenges require continuous development and more importantly improvements to meet global changes in the weather and also the global markets. More so, for smaller scale plantation estates which do not have the know-how or expertise to cultivate oil palm, with their participation in the industry based merely on the potential profitability of the investment.

To many of these investors, the profitability of oil palm has become a myth. Not by the fact that the industry is no longer viable, but by the mere fact that the very basic requirements for the cultivation of oil palm have been disregarded. Bad soil conditions, hilly to mountainous terrain, coupled with jaded estate management practices often leave profitability beyond their reach.

Estates must be managed and run from a new perspective. Cheapest is not necessarily the best path to take, rather, the infusion of the latest knowledge technology at the right time will produce the best results and will prove to be most profitable.

The demand for palm oil products is still very strong, more so with the emergence of bio-fuel and other new uses for crude palm oil. The key to the success of the plantations is purely and simply, proper estate management, with an eye for technological developments and an avid adoption of the developments.

Thank you.