19/12/05 ( The Edge Daily) - Kumpulan Guthrie Bhd’s Minamas Plantation opened its RM10-million research centre in Teluk Siak in Riau, Indonesia on Dec 19 to focus on improving production efficiency.

Guthrie said the Minamas Research Centre reflects its commitment towards research and development and the potential of its Indonesian operations.

“It (the centre) places great emphasis on market-driven oil palm R&D efforts in order to meet the global changing needs of the industry and consumers through the improvement of production efficiency at various levels,” it said.

Production efficiency is crucial to better yields, product quality and lower production costs, it said.

Guthrie has about 320,000 ha of plantation land in Malaysia and Indonesia. In Indonesia, Guthrie owns and operates 54 plantations covering 216,911 ha and 17 mills with total capacity of 705 tonnes per hour.

“A total of 164,000 ha has been planted with oil palm. The balance of the land is being planted with top group materials while new mill capacities are ongoing to reach optimal level within one to two years,” it said.

Fresh fruit bunches (FFB) have increased three-fold from 2001 to 2004. Yield prior to 2004 was six to 10 tonnes and it increased to 16 tonnes per hectare and 22 tonnes in 2007.

“With yield moving towardsn 23 to 24 tonnes per hectare, Guthrie will be one of the most competitive and lowest cost producers of crude palm oil (CPO),” it said.