FGV Holdings Bhd (FGV) is expanding its presence in India’s oil palm seed market by targeting to sell another 1.5 million seeds by 2021 following growing market demand for premium oil palm seeds in the country.
The group said to date, FGV has secured sales of one million oil palm seeds to India through the FGV’s Yangambi ML161 brand, the number one oil palm planting material with a 43% market share in Malaysia.
In a statement today, the group said the latest buyer was FGV Pre Unique, a joint-venture (JV) company between FGV and Pre-Unique Pvt Ltd established to penetrate India’s food products market.
FGV Pre Unique would also act as FGV’s vehicle to expand its seed market in India, mainly in the states of Andhra Pradesh and Telangana, it said, adding that the company secured the one million seed order for its customers in September, four months after the JV was established.
FGV group chief executive officer Datuk Haris Fadzilah Hassan said Yangambi ML161 possesses distinct characteristics compared to other varieties as it gives a higher percentage of oil extraction and bunch number with medium-sized bunches, making it one of the most preferred seed types in the palm oil industry.
“I am confident that FGV’s venture in India is the right move for FGV’s future business expansions,” he said.
Apart from India, he noted Yangambi ML161 also caters to the high demand in Indonesia with 1.5 million seeds sold followed by Thailand (0.56 million seeds), Papua New Guinea (0.32 million seeds) and Sri Lanka (0.25 million seeds).
“This proves the superiority and trusted quality of our seed product in the overseas market,” added Haris Fadzilah. – Nov 4, 2020