Competitive Strengths | KENCANA AGRI

As at 30 September 2010, we have a total land bank of 188,784 ha with a planted area of 43,340 ha. This points to approximately 77.2% of land available for planting moving forward.
We intend to increase our planted area by 8,000 ha - 10,000 ha before 2011 and further double the planted area within the next few years

As at the Latest Practicable Date, over 75% of our planted area is young and immature. As these oil palms mature further, fresh fruit bunch harvests will increase, thus reducing our reliance on third party suppliers, lowering our unit production cost and improving our average CPO extraction rates
Along with such an increase in FFB harvest is a potential for strong double-digit production growth over the next five years

We have an experienced and committed management team led by our Chairman and CEO, Mr Henry Maknawi
Our management's track record is demonstrated by successful cultivation of all our current plantations from greenfield land

Our plantation operations consist of palm oil mills, kernel crushing plants, logistics services and bulking facilities, as well as renewable power generation capabilities
We entered into an agreement with the Indonesian Oil Palm Research Institute ("IOPRI") to develop oil palm seed breeding and seed processing facilities
Having our own bulking facilities and barges enables us to exercise better control over our logistics management and to meet customers' delivery requirements at short notice
Our complementary businesses, which include sales of carbon credits from the biomass power plant project, are able to generate additional revenue streams for the Group

As a member of RSPO, our business operates in line with the world's highest standards for sustainable agriculture production
Being RSPO certified, we are able to attract environmentally and socially responsible customers who are willing to pay a premium for responsibly produced products

Our Business