REFLECTIONS FROM THE TOP SEC 3 18 DEAR STAKEHOLDERS, Stepping into the role of Chairman at FGV is a great honour and a deep responsibility to undertake. In my inaugural statement, I wish to emphasise FGV’s commitment in making sustainability a core part of the Company’s strategy. While we draw lessons from our past, we focus firmly on the future to drive sustainable growth and create social and economic value. The year 2023 saw progress in our Business Plan 2023-2025 (BP25), steering us towards delivering sustainable foods and agriproducts to the world with greater commitment and vigour. WEATHERING A YEAR OF CHALLENGES In the agricultural commodities sector, global economic conditions, population growth, and changing dietary preferences significantly influence market demand. Compounding this dynamic environment are the ongoing challenges of price fluctuations and foreign exchange rate volatility. In addition, human rights, biodiversity conservation, and compliance with sustainability certifications have gained such importance and prominence to the extent that the industry has faced greater scrutiny than ever. Crude palm oil (CPO) prices fell in 2023 from their peak in 2022, influenced by stiffer competition from other edible oils as the supply improved. Furthermore, the rising costs of raw materials such as sugar and other crucial items such as fertiliser and high energy costs add to these challenges, impacting our production and financial outcomes. CHAIRMAN’S STATEMENT Over the past year, FGV has navigated through a complex and dynamic business landscape. With resilience and determination, we have adapted to the environment to address challenges and carved a path for strategic progress. Our commitment to sustainability and responsible growth has been fruitful, particularly in supporting FELDA settlers and independent smallholders, who are the primary suppliers of FFB that form the backbone of our supply chain. Our efforts extend beyond business and are also aimed at empowering these communities, while integrating sustainable practices into our operations. FGV remains steadfast in our pursuit to align our business practices with innovative social change to ensure progress, growth, and sustainability. More information can be found in Operating Landscape on pages 27 to 28. Tan Sri Rastam Mohd Isa Chairman
RkJQdWJsaXNoZXIy NDgzMzc=