Client

Government-Linked Company

Products & Services

• Plantability Assessment
• Agronomic Evaluation
• Operational Review
• Financial Feasibility Analysis
• Risk Assessment & Mitigation
• Land Use Optimisation
• Crop Profitability Analysis

Description of Project

Client

The Client is a listed company and the plantation arm of Malaysia’s premier government-owned Islamic financial institution. The company manages a large portfolio of oil palm estates and mills across Malaysia and Indonesia, producing Fresh Fruit Bunches (FFB), Crude Palm Oil (CPO), and Palm Kernel (PK). 

Background

The engagement was undertaken to conduct a business feasibility study to determine the highest and best use of the land, either through further development or a potential disposal exercise. The study focused on evaluating crop potentials, specifically oil palm, cocoa and others through an agronomic and financial assessment.

Challenges & Expectations

The client faced uncertainties regarding soil quality, climate suitability, infrastructure, and labour availability. They required a clear assessment of the plantable potential, crop profitability, and financial viability. The client expected recommendations for optimal land use, risk mitigation, and implementation priorities to support decision-making on development or disposal.

Our Role on the Project

Scope of Services

The engagement was structured to assess land and agronomic potential, determine suitability for crops, such as oil palm, cocoa, evaluate infrastructure and human capital, develop financial models and forecasts, estimate CAPEX and OPEX requirements, and provide strategic recommendations with risk mitigation and implementation priorities.

Solutions / Outcomes Delivered

• Conducted field and soil assessments across estates to determine agronomic potential. analysed climatic conditions, infrastructure availability, and labour capacity to support crop development
• Evaluated crop suitability and profitability, including time to maturity, initial investment, and market demand for crops, such as oil palm, cocoa, mangoes, lemon etc
• Identified plantable areas and optimal land use layouts based on agronomic potentials
• Developed a 30-year financial model incorporating CAPEX, OPEX, and multiple scenarios to assess financial feasibility
• Provided recommendations and high-level implementation plans for crop introduction and phased development