FGV Annual Report 2020

Group Business Review LANDBANK Landbank (ha) 2020 2019 • Malaysia • Peninsular • Sabah and Sarawak 252,543 164,154 252,509 164,144 • Indonesia • Subsidiary • Joint Venture (JV) NA 22,578 42,824 22,578 42,824 Total landbank (excluding JVs) 439,275 439,230 • Planted areas (oil palm) • Immature • Mature 59,842 275,562 74,953 263,484 Total planted areas (oil palm) 335,404 338,437 • Planted area (rubber) • Immature • Mature 4,630 3,365 7,680 3,521 Total planted areas (Rubber) 7,995 11,201 Age Profile Average Age (Years) Average Age (Years) Average Age (Years) Average Age (Years) 14.8 14.3 13.8 14.8 2017 2018 2019 2020 19% 23% 20% 38% 19% 24% 22% 34% 19% 26% 25% 30% 16% 26% 26% 32% OPERATIONAL PERFORMANCE During the year, FFB production declined by 4% to 4.29 million MT (2019: 4.45 million MT) while FFB yields declined 8% to 16.96 MT/ha (2019: 18.44 MT/ha) mainly due to the lag effect of dry weather and drought and declining productions from young, old and very old palms. This in turn affected CPO and PK production that recorded a decline of 6% and 7% respectively. CPO production in 2020 was 2.87 million mt (2019: 3.07 million mt) and PK production stood at 0.72 million mt (2019: 0.77 million mt). The OER fell 1% to 20.32% (2019: 20.61%) and kernel extraction rate fell 2% lower to 5.09% (2019: 5.20%). Ex-mill costs rose by 7% to RM1,619/MT mainly due to lower crop production as well as higher estate and milling cost. 66 FGV HOLDINGS BERHAD Annual Integrated Report 2020