OUTLOOK As BPlant enters the 2024 fiscal year as a delisted entity, we adopt a cautiously optimistic outlook. Our focus will be on tightening cost efficiencies and implementing strategic operational decisions to unlock emerging prospects that enable us to strengthen as a resilient palm oil producer. In sync with global demands for robust ESG practices, operating responsibly will continue to drive the Group and our entire supply chain as we move forward. We anticipate continued industry challenges, including volatile CPO prices, the management of ageing palms and its accompanying issues of rising cost of fertiliser, labour, and diesel, and the surge in soybean oil supply. Additionally, unpredictable weather patterns, such as monsoons, and geopolitical tensions could pose further complications, alongside uncertainties of global demand. Nevertheless, conditions in our favour include stable palm oil production, narrowing of the labour supply shortage as foreign workers return to Malaysia largely thanks to ongoing Government initiatives, and the rising domestic reliance on B35 biodiesel in Indonesia which could curb their exports. In addition, we are optimistic that demand from India and China, our primary trade partners, will continue to grow. BPlant’s ongoing transformation will be buoyed by strategic measures that include making substantial headway in our yield and oil extraction in prime planted areas and reducing operational costs. Replanting under RP25 will progress with the use of higher-yielding semi-clonal and bi-clonal planting materials and choice superior palms for cloning. This will be amid the ongoing implementation of mechanisation and digitalisation, including the utilisation of drone technology for precise mapping of terrain and elevation, to further boost our operations. As we forge ahead in 2024, we remain committed to harnessing our strategic roadmap and positive market factors to continue our transformation as a leading participant in an industry that is a key driver in our nation’s economic and sustainability development. ACKNOWLEDGEMENT In closing, I extend my deepest gratitude to our members of the Board, senior management and dedicated employees, whose resilience and commitment have been pivotal in our journey in 2023. Our sincere appreciation is also extended to the late Maj. Gen. Dato’ Seri Haji Khairuddin Haji Abu Bakar (R) J.P. for his distinguished service and guidance as Director of the Company from 10 April 2014 to 7 February 2024. I would also like to express appreciation to my predecessor, Fahmy Ismail, for his stewardship in managing the Group as well as former Chief Financial Officer, Mohamad Mahazir Mustaffa, for his long-term dedication and contributions to BPlant. To our valued shareholders, we deeply appreciate the steadfast support and trust you have placed in BPlant over the years. Although we have transitioned to a delisted entity, your contributions have been fundamental to our growth. We are grateful for the role you have played in our journey. Lines of oil palm trees at Bebar Estate, Pahang Integrated Report 2023 031
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