Productivity and Innovations

The Group is committed to operating professionally, with integrity and responsibility in our business to continue delivering value to our shareholders. The emphasis is on improving productivity through process and performance excellence while inspiring continuous improvement throughout the supply chain. It recognises the research and development imperatives along with harnessing functional innovations towards achieving higher oil yields and balancing growth with positive social environmental footprints. The Group is also committed to adhere to all relevant and legal requirements, support fair and ethical business practices and apply best industry standards and practices.

The Group recognises the importance of addressing sustainability-related issues relating to the production of palm oil products vis-à-vis other edible oils on a level playing field. We believe in engaging with relevant stakeholders from multidisciplinary backgrounds and have taken the initiative to host stakeholders visiting the operating units and sharing with them the social-environmental aspects and the entire supply chain in the operations. The table below categorises the key stakeholders that we have engaged with and the processes of the engagements.



Apart from the engagement process and platform, the Group has also established constructive partnership with several relevant NGOs, governmental bodies and private organisations. The Group is confident that the long term and structured engagements with our partners will deliver positive operational and social environmental footprints in the creation of shared values with the relevant stakeholders.

The Group recognises the importance of research and development which contribute towards productivity while endeavouring to balance growth with environmental stewardship. The Group’s research unit, Quality, Training and Research Centre (QTRC) is located in Sijas estate, Sandakan and its sub-station in Sugut.

The main focus of the establishment is to contribute towards better performance in oil palm seed breeding and production as well as to harness environmental sustainability through responsible agricultural practices and integrated pest management.

The Group is also keen to inspire and inculcate the culture of innovation and continuous improvement among its people in the operations. Site specific mechanisation such as motorised wheelbarrow, grabber system, as well as the bin system are used to accelerate in-field crop evacuation processes. In addition, the Group has implemented the digital supervision system and drone technology to enhance plantation management efficiencies and supervision. While mill operations continue to fine tune and test new innovative ideas in optimising mill operations and enhance waste management strategies.

The Group’s operating units are certified under various national and international certification schemes. The approach is to focus and prioritise standards that are consistent with the Group’s overall commitments to improve market access while delivering value and assurance to customers. The Group also took consideration of the prevailing market demands and prudently manages the cost involved in the overall certification processes.

Below is the list of our operating units that have been certified with sustainability certifications:

International Sustainability & Carbon Certification

Operating Units Certifications Number Supplying Estates Certified Since Traceability
Desa Talisai Palm Oil Mill

Coordinates:

N 5° 42’ 24.131”
E 117° 32’ 00.877”

EU-ISCC-Cert-DE119-60194912

Desa Talisai South

Meliau

2015 Mass Balance
Sabang Palm Oil Mill-1

Coordinates:

N 6° 14’ 00.985”
E 117° 31’ 45.112”

EU-ISCC-Cert-DE119-60195521

Sg. Sabang

Berakan Maju

Excellent Challenger 1

2016

Mass Balance

Sabang Palm Oil Mill-2

Coordinates:

N 6° 21’ 11.525”
E 117° 28’ 38.866”

EU-ISCC-Cert-DE119-60195522

Rakanan Jaya North

2016 Mass Balance
Minat Teguh Palm Oil Mill

Coordinates:

N 5° 49’ 10.56”
E 117° 52’ 12.00”

EU-ISCC-Cert-DE119-60196931

Minat Teguh

2018 Mass Balance
IJM Edible Oils Sdn Bhd
(Trader with Storage)

Coordinates:

N 5° 47’ 38.01”
E 118° 1’ 48.04”

EU-ISCC-Cert-DE119-60197906

Not Applicable

2019 Mass Balance

Malaysian Sustainable Palm Oil Certification

Operating Units Certifications Number Supplying Estates Certified Since Traceability
Desa Talisai Palm Oil Mill

Coordinates:

N 5° 42’ 24.131”
E 117° 32’ 00.877”

SGS-MSPO/MY15/01772

Desa Talisai South

Desa Talisai North

Meliau

2015 Mass Balance
Group Certification - Part 3

Sg. Sabang

Berakan Maju

Excellent Challenger 1

Excellent Challenger 2

Rakanan Jaya South

Rakanan Jaya North

Minat Teguh

Sijas

SGS-MSPO/MY18/1811029824

 

2018

Mass Balance

Group Certification - Part 4

Sabang Palm Oil Mill 1

Sabang Palm Oil Mill 2

Minat Teguh Palm Oil Mill

SGS-MSPO/MY18/1811029860

 

2018 Mass Balance

MSPO Supply Chain Certification Standard

Operating Units Certifications Number Supplying Estates/Mills Certified Since Traceability
IJM Edible Oils Sdn Bhd
(Kernel Crushing Plant)

Coordinates:

N 5° 47’ 38.01”
E 118° 1’ 48.04”

SGS-MSPO-SCCS-MY19/1811030097

Minat Teguh Palm Oil Mill

Desa Talisai Palm Oil Mill

Sabang Palm Oil Mill 1

Sabang Palm Oil Mill 2

2019 Mass Balance

Indonesian Sustainable Palm Oil Certification

Operating Units Certifications Number Estates Certified Since
PT Primabahagia Permai (PBP)

MUTU-ISPO/094

Binai

Sajau

Antutan

2017
PT Sinergi Agro Industri (PTS)

MUTU-ISPO/092

Pertama

Belindan

Manubar

Multi

2017
PT Prima Alumga (PPA)

MUTU-ISPO/133

Alumga H1

Alumga H2

Alumga H3

2018

In line with our customers’ growing demand for accountability and transparency, the Group tracks and monitors the sources and movement of palm products produced from its estates and processing plants, and receives only crops from known and legal sources.

The purchases of products or services by the Group are conducted through established and approved procurement processes. Suppliers’ are carefully reviewed prior to any award of contracts. Contract awardees are required to adopt the Company’s sustainability policies and practices. The clause on compliance to the Group’s policies are enforced through legally-binding agreements. In addition, stakeholder engagement meetings or one to one meet ups with briefing sessions are organised to cover the Group’s sustainability practices and to discuss any prevailing gaps. The contractors also sign self-declarations of their commitments to comply with the Group’s sustainability policies.