KLK in JV to manufacture, sell and market palm oil
26/09/2024 (The Star), Petaling Jaya - Kuala Lumpur Kepong Bhd (KLK) and Alami Commodities Sdn Bhd have formalised a memorandum of understanding (MoU) in relation to a joint venture (JV), KLK Alami Edible Oils Sdn Bhd (KAEO), for the manufacturing, sales and marketing of palm oil and specialty fats.
In a joint statement, the parties said KLK will own 65% of KAEO, while Alami will hold the remaining 35%.
“The refinery and packaging plant assets are located in Teluk Panglima Garang, Selangor, and is set to be fully commissioned in 2025.
“As part of the MoU, KLK will oversee all technical operations, including the procurement of raw materials, while Alami will manage global sales and marketing efforts, with a focus on the Middle East market.”
The parties said the partnership brings together KLK’s expertise and Alami’s global marketing strengths, providing a foundation for delivering quality palm oil and specialty fats to international markets.
KLK chief operating officer Lee Jia Zhang said the collaboration is aligned with KLK’s on-going strategy to expand its midstream operations by enhancing refining capabilities, increasing capacity and integrating sustainability standards.
“The JV also reflects KLK’s commitment to optimising the value chain in the oil palm industry, ensuring both competitiveness and sustainability on a global scale.