14
INDOFOOD AGRI RESOURCES LTD
SUSTAINABILITY REPORT 2014
OUR
PRODUCTS
PALM OIL
Oil palm is IndoAgri’s key plantation crop. The fruits of oil
palm, or Fresh Fruit Bunches (FFB), are processed at mills
into CPO, and then refined into different edible oils and fats
products.
As at 31 December 2014, our mature oil palm estates covered
185,181 hectares, while immature estates occupied 60,874
hectares or 24% of total planted palm area. The average age
of our oil palms is 13 years. In 2014, the Group harvested
4,372,000 tonnes of FFB, achieved an average oil extraction
rate of 22.4% and a CPO production of 956,000 tonnes.
The Group’s RSPO
-
certified CPO production of 332,000
tonnes represents 35% of our total CPO production in 2014.
RSPO
-
Certified Sustainable Palm Oil (CSPO) is sold to the
market via the “Book and Claim” supply chain mechanism
from GreenPalm. The “Book and Claim” mechanism
provides tradable certificates of CSPO to the palm oil
supply base, who can transact these certificates online to
interested parties supporting specific volumes of CSPO or
their derivatives.
OIL PALM SEEDS
The seed material used in our plantations is produced by our
agricultural R&D centres: Sumatra Bioscience (SumBio) in
Bah Lias, North Sumatra, and PT SAIN in Pekanbaru, Riau.
These two sites are among only 10 oil palm seed breeding
centres in Indonesia with the facilities and expertise to conduct
extensive breeding trials for the production of high
-
yielding
seed material suited to our local climates. In 2014, IndoAgri
sold 9.2 million premium seeds, compared with 17.9 million
in 2013 due to the slow down in new planting in Indonesia.
The palm seeds from both R&D centres are not Genetically
Modified Organisms (GMO).
Age of Our Oil Palm Trees
24% Oil Palm age immature
6% Oil Palm age 4 – 6 years
46% Oil Palm age 7 – 20 years
24% Oil Palm age > 20 years
Characteristics of Our Oil Palm Seeds
Characteristics
PT SAIN
SumBio
Potential FFB Production
31 – 34 tonnes/hectare/year
30 – 35 tonnes/hectare/year
Potential CPO Production
8.7 – 9.0 tonnes/hectare/year
8.1 – 9.3 tonnes/hectare/year
Potential PKO Production
0.4 – 0.9 tonnes/hectare/year
0.9 – 1.2 tonnes/hectare/year
Oil Extraction Rate (OER)
26.0 – 26.5%
27.2 – 29.6%
Height Increment
63 – 67 cm/year
69 – 80 cm/year
Planting Density
143 palms/hectare
143 palms/hectare
Note: PT SAIN uses parent palm materials from ASD Costa Rica and OPRI from Ghana, derived from renowned breeding populations and breeding centres of
Southeast Asia and West Africa. SumBio uses palm materials from elite Harrisons and Crosfield Del dura and AVROS populations from Dami, Papua New Guinea, and
various African breeding populations including Cameroon, Congo, Ivory Coast, Nigeria and Tanzania.
PT SAIN FFB Yield Potential Versus Actual in Riau Province on S2 Soil Classification
(Tonnes FFB/hectare/year)
3
4
5
6
7
8
9
10
Year After Planting
Note: Actual yields are based on test plots in Riau.
30.0
27.4
26.0
24.6
18.0
15.0
34.0
34.0 34.2
34.0
37.1
33.5 33.5
32.0
32.2
34.7
FFB Potential
FFB Actual
Average
13 years old
