http://www.cmegroup.com/trading/agricultural/files/Overview-of-Edible-Oil-Markets.pdf
Showing posts with label RH. Show all posts
Showing posts with label RH. Show all posts
Sunday, February 9, 2014
Keeping palm oil trade competitive
PALM oil accounts for the largest share of the global edible oil market. This is estimated to be 40 per cent. Soya bean oil is now in second place. Malaysia and Indonesia control almost 90 per cent of the market. More than 80 per cent of the world’s palm oil comes from Malaysia and Indonesia.
Malaysia, which at one time was a leading producer, is now behind Indonesia. Production in Malaysia has stagnated at about 18 million tonnes a year. Available land is limited. The only area left for expansion is in Sarawak. Even there, expansion is constrained by deep peat soils, which cost more to develop.
Malaysia, despite some unfounded claims by non-governmental organisations, still remains committed to maintaining the country’s more than 60 per cent of natural forest cover, legislated as permanent reserves. Despite this, many NGOs, for reasons best known to them, have not stopped criticising palm oil.
Since Malaysia and Indonesia control 90 per cent of the world’s palm oil market, one would expect them to work together to get the best returns from palm oil. It is only logical that the two countries pursue a win-win collaboration. Unfortunately, they have not. The competition has heated up.
Recently, Indonesia changed its palm oil export duty structure, denying palm oil refineries in Malaysia marketshare.
The Indonesian government introduced new lower export duties on both crude and refined palm oils. The new duty regime also includes an export tax differential between the two oils. Experts agree this downward revision of the export tax structure for crude palm oil (CPO) and refined palm olein is likely to have implications for the global palm oil market.
The export marketshare between two of the world’s largest exporters, Malaysia and Indonesia, will see change, most likely favouring Indonesia. As a result, many expect increased investments in the refining sector in Indonesia. The move will intensify Indonesia’s competition with Malaysia. In the end, it will be a lose-lose situation for both.
Export tax on refined palm olein was reduced from 25 per cent to 13 per cent. For crude palm oil, the duty cut was smaller, from 25 per cent to 22.5 per cent. What is clear from the adjustment is that the Indonesian government wants to promote the export of processed palm oils and capture the benefit of value addition locally. This will most likely upset the refining business in markets such as India, which also deploys the duty structure to encourage downstream investments in edible oils. How would India respond?
With export tax nearly halved, the export competitiveness of Indonesian refined oils will improve considerably, at the expense of refiners in Malaysia.
At the same time, a much smaller duty reduction in crude palm oil means that for the export market, the product will continue to remain relatively more expensive and, therefore, less competitive. This, in turn, will encourage larger local sales of CPO to domestic refiners. It is also likely that CPO producers may set up fresh refining capacities to take advantage of the fiscal concession.
Wednesday, December 19, 2012
Sunday, April 24, 2011
OSL-PNG’s 20-yr partnership
Source:
The National – Wednesday, December 8, 2010
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PAPUA New Guinea has, for more than 20 years, been enjoying substantial benefits from the Oil Search Ltd, whose fundamental benefits structure is progressive by world standards.Speaking at the 11th mining and petroleum conference in Sydney on Monday, OSL managing director Peter Botten told participants that the resource business in PNG had never been healthier in terms of major project development.He said, however, the true potential of resource wealth would not be reached without appropriate management of the huge benefit streams that would come from new developments.Botten said since 1992, the PNG government, provincial and local level governments, landowners (cash or non-cash or indirect payments) had received a total of K11.931 billion, with the government as the main recipient of the oil industry with K8.796 billion to date.The oil industry has a record investment in petroleum exploration and development, led by the PNG LNG, other projects and continued investment in oil.There is potential for significant development which will only reach potential if projects operate in a stable environment, have good management and governance of benefit streams which are essential for project stability and have the need to see benefits away from resources areas.Botten explained that primary benefit streams were mandated by the Oil and Gas Act (1996) and other legislation, while others were more discretionary and were managed through negotiation by the operator with the stakeholders.There is, however, a need for transparency and understanding of the benefits streams in order for it to work.This includes MoA funds distributions, which required greater governance, if they are to deliver fair outcomes.Botten said what had worked in the benefit streams included the Mineral Resource Development Co (MRDC) payments of equity dividend and royalties in the fields.Mandated apportionment of benefits to various stakeholders had worked, with a percentage given to community infrastructure and future generations.Botten said it was more important than ever to manage benefits in a rigorous and transparent way.He said recent steps by the government regarding establishment of independent sovereign wealth funds for receipts from PNG LNG was a new major positive initiative.These first steps were encouraging and needed a full understanding by all stakeholders, he said.
The National – Wednesday, December 8, 2010
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PAPUA New Guinea has, for more than 20 years, been enjoying substantial benefits from the Oil Search Ltd, whose fundamental benefits structure is progressive by world standards.Speaking at the 11th mining and petroleum conference in Sydney on Monday, OSL managing director Peter Botten told participants that the resource business in PNG had never been healthier in terms of major project development.He said, however, the true potential of resource wealth would not be reached without appropriate management of the huge benefit streams that would come from new developments.Botten said since 1992, the PNG government, provincial and local level governments, landowners (cash or non-cash or indirect payments) had received a total of K11.931 billion, with the government as the main recipient of the oil industry with K8.796 billion to date.The oil industry has a record investment in petroleum exploration and development, led by the PNG LNG, other projects and continued investment in oil.There is potential for significant development which will only reach potential if projects operate in a stable environment, have good management and governance of benefit streams which are essential for project stability and have the need to see benefits away from resources areas.Botten explained that primary benefit streams were mandated by the Oil and Gas Act (1996) and other legislation, while others were more discretionary and were managed through negotiation by the operator with the stakeholders.There is, however, a need for transparency and understanding of the benefits streams in order for it to work.This includes MoA funds distributions, which required greater governance, if they are to deliver fair outcomes.Botten said what had worked in the benefit streams included the Mineral Resource Development Co (MRDC) payments of equity dividend and royalties in the fields.Mandated apportionment of benefits to various stakeholders had worked, with a percentage given to community infrastructure and future generations.Botten said it was more important than ever to manage benefits in a rigorous and transparent way.He said recent steps by the government regarding establishment of independent sovereign wealth funds for receipts from PNG LNG was a new major positive initiative.These first steps were encouraging and needed a full understanding by all stakeholders, he said.
BonCafe! at Vision City
Source:
The National – Thursday, December 23, 2010
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By VERONICA FRANCISIT was double delight for Christmas as City Pharmacy the country’s biggest health and beauty chain opened its store and coffee shop at the new Vision City Megamall in Port Moresby yesterday.The new shop is CPL’s 29th outlet, thus bringing the number to 12 for Port Moresby and 17 in the provinces.BonCafe, the Australian international coffee franchise, now has four coffee shops, namely at Deloitte Tower, Hardware Haus Waigani and Stop n Shop in downtown.According to CPL Group marketing manager Prue Go, the new health and beauty store boasts of exclusive personal care items, health supplements, general merchandise, IDesign appliances and many more.“There are also two experienced pharmacists at the new outlet to give professional advice, dispense with medicine using reviews and provide health checks,” she said.Go revealed that with the festive season here, City Pharmacy would be having specials on Sunday, where prices of goods would be slashed from 50% to 70%.City Pharmacy is under the umbrella organisation of CPL Group,which also owns Stop n Shop supermarkets, Hardware Haus Store and BonCafe franchise.
The National – Thursday, December 23, 2010
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By VERONICA FRANCISIT was double delight for Christmas as City Pharmacy the country’s biggest health and beauty chain opened its store and coffee shop at the new Vision City Megamall in Port Moresby yesterday.The new shop is CPL’s 29th outlet, thus bringing the number to 12 for Port Moresby and 17 in the provinces.BonCafe, the Australian international coffee franchise, now has four coffee shops, namely at Deloitte Tower, Hardware Haus Waigani and Stop n Shop in downtown.According to CPL Group marketing manager Prue Go, the new health and beauty store boasts of exclusive personal care items, health supplements, general merchandise, IDesign appliances and many more.“There are also two experienced pharmacists at the new outlet to give professional advice, dispense with medicine using reviews and provide health checks,” she said.Go revealed that with the festive season here, City Pharmacy would be having specials on Sunday, where prices of goods would be slashed from 50% to 70%.City Pharmacy is under the umbrella organisation of CPL Group,which also owns Stop n Shop supermarkets, Hardware Haus Store and BonCafe franchise.
Vision City gets BSP ATM
Source:
The National – Tuesday, December 28, 2010
By BOSORINA ROBYRUNNING out of cash while shopping at Vision City Megamall is now a thing of the past with the installation of two Bank South Pacific automatic teller machines at the shopping centre’s premises.This was in line with the bank’s roll-out programme to strengthen its position as a bank that “provides convenient, accessible and cost-effective banking solutions”.RH Trading general manager Ang Cheng Chooi said the partnership between their companies would offer greater convenience to customers as they show their commitment to meeting the needs of today’s busy consumers.BSP head of retail network Kili Tambua said the expansion of BSP’s ATM network allowed its customers to choose how they bank with BSP – at a time, place and location convenient to them.“Using a BSP ATM, a customers could check balances, withdraw cash, get phone credits, obtain mini-statements, transfer funds and change PIN,” he said.Electronic banking transactions were cheaper than transactions performed by a teller in a branch, Tambua said.These ATMs would also benefit international travellers who may use their MasterCard on the BSP network.Tambua said BSP’s efforts to extend its ATM network would go a long way towards making ATMs more accessible to customers.
The National – Tuesday, December 28, 2010
By BOSORINA ROBYRUNNING out of cash while shopping at Vision City Megamall is now a thing of the past with the installation of two Bank South Pacific automatic teller machines at the shopping centre’s premises.This was in line with the bank’s roll-out programme to strengthen its position as a bank that “provides convenient, accessible and cost-effective banking solutions”.RH Trading general manager Ang Cheng Chooi said the partnership between their companies would offer greater convenience to customers as they show their commitment to meeting the needs of today’s busy consumers.BSP head of retail network Kili Tambua said the expansion of BSP’s ATM network allowed its customers to choose how they bank with BSP – at a time, place and location convenient to them.“Using a BSP ATM, a customers could check balances, withdraw cash, get phone credits, obtain mini-statements, transfer funds and change PIN,” he said.Electronic banking transactions were cheaper than transactions performed by a teller in a branch, Tambua said.These ATMs would also benefit international travellers who may use their MasterCard on the BSP network.Tambua said BSP’s efforts to extend its ATM network would go a long way towards making ATMs more accessible to customers.
RH ventures into palm oil
Source:
The National - Wednesday, March 23, 2011
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By BOSORINA ROBBYTHE Rimbunan Hijau (PNG) Group is diversifying its business interest in the country by venturing into palm oil production.The Sigite Mukus Integrated Rural Development project located in East New Britain was revealed yesterday by RH executive director Ivan Lu at the launch of a report on the economic impacts of palm oil in PNG.Lu said although the initial stages of development took almost three years to process, with more still to complete, RH has succeeded in securing 40,000 hectares of land from landowners, while equipment were sent early this year to begin work.“The Sigite Mukus project includes an investment of more than K600 million involving three palm oil mills.“It is expected to contribute royalties, payments, levies and other community funding worth K800 million over the life of the project.“This is around K35 million per year,” Lu said.He said this would have a significant effect in driving economic development in East New Britain and the rural communities, where continued growth was vital if PNG were to bring 40% of the population out of poverty.He said after 20 years in PNG, RH understood the importance of economic development to the nation, where economic growth, investment and employment had been strong in recent years.Lu said with strong economic indicators now, RH’s move into the palm oil industry was the latest investment in their long-term commitment to PNG.He said responsible palm oil development offered huge potential to generate economic growth for the people of PNG for many years. “Many people in PNG and around the world assume that all we do is timber.“But we are a diverse company with interests in retail, media, property development, transport and logistics and now agriculture.“In 2006, just under 50% of our turnover came from non-forestry operations,” he said.
The National - Wednesday, March 23, 2011
Picture:
By BOSORINA ROBBYTHE Rimbunan Hijau (PNG) Group is diversifying its business interest in the country by venturing into palm oil production.The Sigite Mukus Integrated Rural Development project located in East New Britain was revealed yesterday by RH executive director Ivan Lu at the launch of a report on the economic impacts of palm oil in PNG.Lu said although the initial stages of development took almost three years to process, with more still to complete, RH has succeeded in securing 40,000 hectares of land from landowners, while equipment were sent early this year to begin work.“The Sigite Mukus project includes an investment of more than K600 million involving three palm oil mills.“It is expected to contribute royalties, payments, levies and other community funding worth K800 million over the life of the project.“This is around K35 million per year,” Lu said.He said this would have a significant effect in driving economic development in East New Britain and the rural communities, where continued growth was vital if PNG were to bring 40% of the population out of poverty.He said after 20 years in PNG, RH understood the importance of economic development to the nation, where economic growth, investment and employment had been strong in recent years.Lu said with strong economic indicators now, RH’s move into the palm oil industry was the latest investment in their long-term commitment to PNG.He said responsible palm oil development offered huge potential to generate economic growth for the people of PNG for many years. “Many people in PNG and around the world assume that all we do is timber.“But we are a diverse company with interests in retail, media, property development, transport and logistics and now agriculture.“In 2006, just under 50% of our turnover came from non-forestry operations,” he said.
Tuesday, November 3, 2009
PM commends RH for K1 billion Vision City project
June 18, 2008
PRIME Minister Sir Michael Somare has commended the Rimbunan Hijau (PNG) Group for its loyalty and continued investment in the country.
He said the group had remained steadfast through both good times and bad, while some companies folded up and left.
“They remained so despite negative criticisms from various parties, and is reaping the rewards,” he said when launching the group’s K1 billion Vision City project at Waigani yesterday.
He thanked the group for having the vision for such a grand project that would, he said, not only add to its assets but would also be a big boost to the country’s economy.
He said he was pleased that RH had been branching out from its traditional logging business, and going into transport, media, retail and now commercial property.
Sir Michael gave an assurance that the Government would continue to work closely with the private sector to help develop the country and improve the people’s standard of living and quality of life.
He said that of late, there had been several other significant investments in the country.
“And just recently, we witnessed the signing of the LNG agreement between PNG and Exxon Mobil worth over US$10 billion.
“My government has also invested millions in the Lae port project.
“Only a stable government with prudent financial management could ensure a good environment for businesses,” he said.
In his speech, RH Group chairman Tan Sri Datuk Tiong Hew King said PNG’s economy had improved greatly in the past two years, partly due to the Prime Minister’s leadership and government policies.
He said he had great confidence in the country and people and Vision City was proof of this.
“It is a long-term investment and I am confident the project will bring growth and prosperity to Port Moresby and the country,” he said.
Tan Sri Tiong said the project would take between seven and 10 years to complete and its construction would create about 1,800 jobs.
“When completed, the project would also create thousands of jobs and the retail operations in the Mega Mall alone would generate K200 million of economic activity a year.”
He said RH was approaching its 20th anniversary in PNG, dispelling claims that it would only be in the country for the short-term.
“The past 20 years have proved them wrong. The next 10 years and more we will continue to prove them wrong,” he said.
Vision City is located opposite the Sir John Guise Indoor Complex and adjacent to the City Hall and Waigani Office Complex.
It will have a three-storey Mega Mall housing a hypermarket, 50 retail outlets and restaurants, a hotel with more than 290 rooms and 120 serviced apartments, a convention centre that can accommodate 2,000 people, and a 10-storey block offering 60,000 sq metres of office space.
The hotel is expected to be managed by an international chain.
Guests at the launch were impressed by the magnitude of the project and were unanimous that it would be a great boost to the country.
PRIME Minister Sir Michael Somare has commended the Rimbunan Hijau (PNG) Group for its loyalty and continued investment in the country.
He said the group had remained steadfast through both good times and bad, while some companies folded up and left.
“They remained so despite negative criticisms from various parties, and is reaping the rewards,” he said when launching the group’s K1 billion Vision City project at Waigani yesterday.
He thanked the group for having the vision for such a grand project that would, he said, not only add to its assets but would also be a big boost to the country’s economy.
He said he was pleased that RH had been branching out from its traditional logging business, and going into transport, media, retail and now commercial property.
Sir Michael gave an assurance that the Government would continue to work closely with the private sector to help develop the country and improve the people’s standard of living and quality of life.
He said that of late, there had been several other significant investments in the country.
“And just recently, we witnessed the signing of the LNG agreement between PNG and Exxon Mobil worth over US$10 billion.
“My government has also invested millions in the Lae port project.
“Only a stable government with prudent financial management could ensure a good environment for businesses,” he said.
In his speech, RH Group chairman Tan Sri Datuk Tiong Hew King said PNG’s economy had improved greatly in the past two years, partly due to the Prime Minister’s leadership and government policies.
He said he had great confidence in the country and people and Vision City was proof of this.
“It is a long-term investment and I am confident the project will bring growth and prosperity to Port Moresby and the country,” he said.
Tan Sri Tiong said the project would take between seven and 10 years to complete and its construction would create about 1,800 jobs.
“When completed, the project would also create thousands of jobs and the retail operations in the Mega Mall alone would generate K200 million of economic activity a year.”
He said RH was approaching its 20th anniversary in PNG, dispelling claims that it would only be in the country for the short-term.
“The past 20 years have proved them wrong. The next 10 years and more we will continue to prove them wrong,” he said.
Vision City is located opposite the Sir John Guise Indoor Complex and adjacent to the City Hall and Waigani Office Complex.
It will have a three-storey Mega Mall housing a hypermarket, 50 retail outlets and restaurants, a hotel with more than 290 rooms and 120 serviced apartments, a convention centre that can accommodate 2,000 people, and a 10-storey block offering 60,000 sq metres of office space.
The hotel is expected to be managed by an international chain.
Guests at the launch were impressed by the magnitude of the project and were unanimous that it would be a great boost to the country.
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