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Palm Oil
Overview
The company first entered the oil palm business in 1993 when 6,200ha of its rubber estate in Kisaran were converted to oil palm. Since then, the group has continued to expand its oil palm business, through both greenfield developments and acquisitions.

As at 1 Jan 2008, oil palm plantations represented around 80% of the group’s total planted area.  Most of its estates are located on the island of Sumatra, but the company has recently started a greenfield project in Central Kalimantan.

Production
The fruits (FFB) harvested from the estates are processed daily into Crude Palm Oil at the group’s mills. The group currently has eight mills under its management, including two mills owned by its 25% associate ARBV. This gives BSP the installed capacity to process 390 tonnes of FFB per hour, which is adequate for its current FFB output. However, plans are already in place to build new mills to support current young estates when they reach their peak production.


Products

  • CPO
    Palm oil is a dark yellow to yellow-red oil (due to its high carotene content) obtained by pressing or boiling the flesh of the fruit of the oil palm.
  • PK
    Palm kernel (PK) is obtained after the oil content of the fruitlets has been extracted. The kernel is further crushed to obtain the palm kernel oil which is white to yellowish in colour. It normally solidifies at room temperatures and is often used in the oleochemicals industry.