MARKET DEVELOPMENT
MIEC to Acquire Land for Palm Oil Venture
MIEC to Acquire Land for Palm Oil Venture
05/06/2013 (The Malaysian Reserve) - Malaysian Indian Economic Cooperative (MIEC) president Madhu Marimuthu says the cooperative is negotiating to acquire land from several state governments to venture into the palm oil business.
Marimuthu said the MIEC expects to do well in palm oil as it has been part of its investment strategy. “We have always envisioned investing in palm oil plantation. We are already talking to state governments to get land and with the advice of experts we are looking at investing up to RM30 million into the venture,” he said in Kuala Lumpur recently.
He said the MIEC is confident about entering the palm oil market because it has board members who are experienced in the industry. “We plan to acquire some 50 to 100 acres (20.25ha-40.5ha) of land both in Malaysia and Indonesia in a year’s time,” he said.
Marimuthu said funding for the venture would be generated internally from its membership.
The MIEC is a cooperative established by like-minded individuals to uplift the socio-economic status of its members, comprising technology experts, plantation owners, estate owners and businessmen. “We have already specified five business areas that we want to explore.
They are property, pawnbroking, venture capital, palm oil industry and initial public offering (IPO) investment,” he said.
As such, Marimuthu said the MIEC is pretty much on track to achieve its goals.
Rabobank Malaysia country director Kao Chee Ming said cooperatives are encouraged to explore such opportunities only if they have ample knowledge in the industry and the business itself.
“We are a cooperative. We understand the business well and we are successful over 100 years since 1898. A cooperative can be successful if it does well in the right industry,” he said.
Kao stressed that the most important aspect in any business is the management, whereby the investor should be involved personally to make it a success.
Marimuthu said the MIEC expects to do well in palm oil as it has been part of its investment strategy. “We have always envisioned investing in palm oil plantation. We are already talking to state governments to get land and with the advice of experts we are looking at investing up to RM30 million into the venture,” he said in Kuala Lumpur recently.
He said the MIEC is confident about entering the palm oil market because it has board members who are experienced in the industry. “We plan to acquire some 50 to 100 acres (20.25ha-40.5ha) of land both in Malaysia and Indonesia in a year’s time,” he said.
Marimuthu said funding for the venture would be generated internally from its membership.
The MIEC is a cooperative established by like-minded individuals to uplift the socio-economic status of its members, comprising technology experts, plantation owners, estate owners and businessmen. “We have already specified five business areas that we want to explore.
They are property, pawnbroking, venture capital, palm oil industry and initial public offering (IPO) investment,” he said.
As such, Marimuthu said the MIEC is pretty much on track to achieve its goals.
Rabobank Malaysia country director Kao Chee Ming said cooperatives are encouraged to explore such opportunities only if they have ample knowledge in the industry and the business itself.
“We are a cooperative. We understand the business well and we are successful over 100 years since 1898. A cooperative can be successful if it does well in the right industry,” he said.
Kao stressed that the most important aspect in any business is the management, whereby the investor should be involved personally to make it a success.