Koon Yew Yin, 3rd Dec 2024
Indonesia is the largest palm oil producer in the world. Indonesia plans to implement biodiesel with a mandatory 40% blend of palm oil-based fuel from Jan. 1 next year, a senior energy ministry official said recently, lifting prices of the vegetable oil to a more than two-week high.
Indonesia currently uses B35, which has a 35% blend of palm oil-based biodiesel, and the government had previously said it would increase the blend to 40% next year.
When implemented, the B40 mandate could increase biodiesel consumption to up to 16 million kiloliters (MMkl) next year from a forecast of 13 MMkl this year, the energy ministry has estimated.
B40 will boost Indonesia's palm oil use for biodiesel to 13.9 million metric tons (MMt), from the estimated 11 MMt needed this year with B35, Indonesia's biofuel producers association APROBI had previously estimated.
As a result, the crude palm oil (CPO) price is rising rapidly, as shown by the CPO price chart below:
All plantation companies will continue to report increasing profit. Based on Market Capitalisation per hectare, TH Plantation is the cheapest as shown below.
Name | Price | Market Cap | Planted Area | Market Cap/H | Rank |
---|---|---|---|---|---|
TH Plant | 73.5 sen | Rm 645 M | 60,000 Hectare | Rm 10,750 | 1 |
MHC Plant | Rm 1.03 | Rm 204 M | 11,200 H | Rm 18,211 | 2 |
Jaya Tiasa | Rm 1.40 | Rm 1,363 M | 69,000 Hectare | Rm 19,600 | 3 |
Sarawak Plant | Rm 2.56 | Rm 717 M | 35,400 H | Rm 22,254 | 4 |
Genting Plant | Rm 5.76 | Rm 5,169 M | 138,000 H | Rm 37,450 | 5 |
Sarawak Oil Plant | Rm 3.46 | Rm 3,090 M | 82,000 H | Rm 37,680 | 6 |
Hup Seng Plant | Rm 2.11 | Rm 1,688 M | 34,800 H | Rm 48,505 | 7 |
United Plant | Rm 31.10 | Rm 13,071 M | 63,000 H | Rm 207,000 | 8 |
Chart | Stock Name | Last | Change | Volume |
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All plantation companies are reporting better profit for the quarter ending September when CPO price was about RM 3,800 per ton.
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Indonesia is the biggest palm oil producer in the world. Indonesia plans to implement biodiesel with a mandatory 40% blend of palm oil-based fuel from Jan. 1 next year, a senior energy ministry offici
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Philip ( buy what you understand)
shouldnt age maturity of trees per hectare and planted trees per hectare be more important than just a simple hectare per market cap?
for example my own farm in sabah although is only around 200 acres now but my total production and utilization is more than my neighbour plantation nearby of 600 acres. How is that possible?
1. my trees are now fully matured and produce the best as I replanted with the latest seedlings 10 years ago with the latest breed. Meanwhile my neighbour only replanted 4 years ago which means high cost and low production.
2. land type. My land is near to the mill and is perfectly flat near main road which brings my production cost far lower per acre, meanwhile my neighbour is hilly land with poorer soil quality near swampy area.
3. fertilization and crop care also make a huge difference.
If we wanted to do the comparison, the key element the koon should be looking at is the yield per hectare and the expenses per market cap.
1 day ago
Subur Tiasa = 44000 Hectare. Market Cap = RM176mil.
Market Cap / Hectare = RM4000 only.
@KYY, you should sell everything and buy Subur Tiasa
1 day ago
Peatland Management
At THP Group, we only plant on peat that has been set aside by the Malaysian government for agricultural development. We understand the nature of peatland and over the years, we have managed our peatland via extensive efforts and strict internal processes. Our Agronomy team provides technical and advisory support for the continuous management and care of the peatland.
These include maintaining water at optimum levels and draining excess water to prevent peat degradation. At the end of 2023, THP Group owned 44,749.27 Ha of peatland, of which 14,924.84 Ha was left unplanted and contributed to biodiversity and conservation areas.
10 hours ago
Thplant per hectare Rm10,750
Rsawit per hectare is only Rm8,744
Rsawit has the lowest cost of all and the cheapest of all
Even Director Gooi Seong Gum of Kim Loong plant owns 3 million Rsawit shares
3 hours ago
As for thplant its deep value is in its well located gold mine lands along Ecrl rail Trengganu and along Pan Borneo Highway, Sarawak
These lands are ripe for conversion to Industrial parks, New Townships, Data Centers and Solar Farm
3 hours ago
speakup
when KYY say buy, it's means sell time
1 day ago