Friday October 15, 2004 - GOLDEN Hope Plantations Bhd aims to improve itsoil extraction rate (OER) for palm oil to 25% from 30 tonnes of freshfruit bunches (FFB) produced per hectare per year in five years.

Chief executive officer Datuk Sabri Ahmad said the company’s average OERwas about 21% with FFB production at 20.8 tonnes per hectare per year.

Our ultimate goal is to improve the performance of the estate. And this isachievable by using better materials for plantations and also lowering thecost of production, he said after the company AGM in Kuala Lumpuryesterday. Some estates have already achieved about 30 to 40 tonnes of FFBwhile some mills in Sabah have hit OER of 24% to 25%, he said.

Chairman Tan Sri Ahmad Sarji Abdul Hamid noted that research anddevelopment would be intensified, and cited the production of new clonesas being very important.

Golden Hope Plantations currently has 186,000ha and a 25,000-strongworkforce.

Sabri said no major capital expenditure was needed to achieve the OER andFFB goal as management and human capital were the key factors.

Besides, Golden Hope had 150 years of experience in this business. Itallocates 5% of its estate land for replanting annually.

On the possibility of new acquisitions, Ahmad Sarji said the company hadno target yet. Bernama