Plantation Assets
KSNR is building assets such as oil mills around its plantations in Indonesia and Malaysia through its local subsidiaries. This is part of its strategy of adding cost savings along every step of the supply chain and ensuring complete back end integration. The plantation assets will be located near or adjacent to the palm plantations to reduce transport costs and optimise production schedules in the mills.
Oil Mills
Oil Mills will be located strategically, close or adjacent to the palm plantations in a vertical integration process. This is being done to ensure that Fresh Fruit Bunches (FFB) from the palm plantations can be quickly crushed in the oil mills to get Crude Palm Oil (CPO), which will then be directly transported through ocean routes to the parent company's refinery in India. |