KUALA LUMPUR, July 3 -- FGV Holdings Bhd (FGV) says it is continuing its transformation agenda through the introduction of the model plantation concept (MPC) project, particularly for its estates and mills nationwide.
The MPC project is a new systematic initiative to strengthen, standardise and sustain best practices in plantation and manufacturing practices, the company said in a statement today.
Its implementation sets new overall standards of procedures for operation and agriculture practices, processing and manufacturing, increased compliance of occupational safety, health and environment policies, optimising human resources, improvement of employee housing, and the use of technology and ICT.

FGV said the MPC project has shown success, demonstrated by several certifications received by two estates and two mills including the Roundtable Sustainable Palm Oil (RSPO) certification, Malaysia Sustainable Palm Oil (MSPO) certification and the QE/5S Quality Environmental Practice (QE/5S) Malaysia Productivity Corporation.
FGV group chief executive officer Datuk Haris Fadzilah Hassan said one of FGV’s operational challenges is the diversity of its 197 estates and 68 mills in terms of size, operating cost, facilities and manpower capabilities.
Through the implementation of the MPC project, optimum standardisation can be achieved, resulting in increased productivity and cost reduction.

For example, he said, the Maokil palm oil mill, which has been operating for 29 years, has shown an increase in productivity, processing and oil extraction rate of 20.74 per cent in 2019 compared with 19.86 per cent in 2018.
“Looking at Maokil’s success, we are confident that the MPC project will be the catalyst for the transformation of the company’s business plan.
“FGV will implement the MPC project in phases. The next phase will be in the following areas -- Palong 8 rubber plant in Negeri Sembilan, Delima Oils Products refinery in Johor, Embara Budi oil palm mill, and Sahabat 11 estate in Sabah, ”said Haris Fadzilah.
Started in 2019, the pilot project was carried out at Tembangau 6 estate in Pahang and Besout palm oil mill in Perak followed by Maokil 7 estate and Maokil palm oil mill in Johor, which will be the model for other estates and mills in the next phase of implementation.
-- BERNAMA