Felda Global Ventures Holdings Bhd (RM4.78/share) Plans Philippine venture after peace deal

Felda Global Ventures Holdings Bhd (FGV), the world’s largest crude palm oil producer, is the first foreign investor to evince interest in the southern Philippines after Manila agreed on a historic peace deal with rebels, potentially opening up tracts of farm land.

Datuk Sabri Ahmad, chief executive officer of cash-rich FGV, said that conflictwracked Mindanao has the most suitable land in the Philippines for oil palms. He added that there is ample area for oil palms to meet strong local demand.

While Sabri did not give an estimate for how many hectares Felda Global was looking to develop, he said plantation companies would need to invest in at least 10,000ha to gain economies of scale. – Business Times