PLS Plantations Bhd, a leading player in the Malaysia agro-food industry, has forged a strategic partnership agreement with COFCO Food Import Co Ltd, China’s largest food processor, manufacturer and trader to develop and implement food security initiatives under the One Belt, One Road (OBOR) initiative.
This partnership signifies a substantial milestone for PLS Plantations as it aligns with the group’s ambition to become a global leader in food production.
Through this agreement, PLS Plantations and COFCO Food Import will exchange information and knowledge on food security initiatives; collaborate on food security research and development; jointly invest and implement food security projects, resources, technologies and expertise sharing; and conduct joint training and capacity-building activities related to food security initiatives.
The scope of this agreement includes agriculture development, food reserves, food safety, poverty alleviation, food production, food imports and food pricing.
Prime Minister Datuk Seri Anwar Ibrahim has emphasised the critical role of food security in fostering sustainable economic growth during the Malaysia-China Business Forum over the weekend (April 2).
Anwar, who is also the Finance Minister, urged businesses to collaborate in developing innovative solutions to combat hunger and promote food security and stability while also highlighted that food security is one of his unity government’s top three priorities alongside environmental sustainability and digital advancement.
PLS Plantations chairman Tan Sri Nazir Razak expressed excitement and pride in forming this strategic partnership with China’s largest food processor.
“As we recognise the importance of food security, we believe that it is vital for us to collaborate with some of the leading players in the industry to push forward innovation and scale economies that will strengthen our nation’s food security,” he commented.
“By combining our expertise in food production with COFCO Food Import’s extensive resources and experience in the downstream segment, we aim to create a sustainable, efficient and environmentally responsible food ecosystem for the future.”
Added Nazir: “We will look for innovative solutions and technologies to address critical challenges such as climate change, soaring fertiliser costs, and the ever-increasing demand for food.”
As COFCO’s top priority is addressing China’s food security, the collaboration with PLS Plantations offers an invaluable opportunity to tackle these challenges together, according to COFCO’s general manager Wu Yiran.
“This partnership addresses domestic food security concerns and fosters mutual growth and development for China and Malaysia as we work collectively towards achieving self-sufficiency in food production,” she pointed out.
“In doing so, we aspire to create a model of international cooperation to demonstrate how shared goals and collaborative efforts can effectively alleviate global food security concerns and benefit all parties involved.”
Founded in 1949, COFCO is China’s largest food processor, manufacturer and trader. It is also one of Asia’s leading agribusiness group with global footprints and a fully integrated value chain.
On August 24 last year, PLS Plantations and COFCO established their strategic partnership through the Malaysia Durian and Durian Products Distribution agreement. The partnership grants COFCO the exclusive rights to promote, off-take and distribute PLS’s Malaysian durian and durian products in China.
At the close of today’s trading, PLS Plantation was unchanged at 95.5 sen with 4.58 million shares traded, thus valuing the company at RM420 mil. – April 3, 2023
Main pic credit: The Kapital