05 March 2020

Issuers in the plantation sector are still optimistic about the prospects of the palm oil business even though the industry is overshadowed by the effects of the Corona or COVID-19 outbreak.

“We still see a bright prospect for the palm oil industry throughout this year,” said Corporate Secretary of PT Mahkota Group Tbk (MGRO), Elvi in Jakarta, Wednesday (4/3).

Elvi revealed that her party is still optimistic even though there is currently a threat of global economic recession due to the Corona virus outbreak and the political situation.

“The prospect of the palm oil business is still good because the need for products produced from this business is increasing,” he explained.

Furthermore, throughout this year, the company focused on developing and selling downstream products, namely the new Refinery plant and KCP will be fully operational.

“The strategy to improve performance will be carried out in the upstream sector,” said Elvi.

Several plantation locations in the South Sumatra area have been targeted by the company to increase the supply of raw materials for the new PKS which was taken over by the subsidiary in November 2019.

In addition to these two sectors, the Mahkota Group has explored cooperation with GREE Energy for a stun project from processing palm oil waste into electricity.

In general, the energy cost efficiency will be obtained by PLN as a buyer because the electricity production is environmentally friendly renewable energy.

Source : https://www.imq21.com/news/read/555116/20200304/095115/Dibayangi-Wabah-Corona-Mahkota-Group-Optimistis-Bisnis-Sawit-Makin-Cerah.html