Source – Philippine Daily Inquirer
KOTA KINABALU (Sabah): Malaysia-based Kenaf Venture Global (KVG) is considering putting up multiple kenaf plantations in the Philippines, with an initial investment plan of $100 million for a 10,000-hectare farm which can generate about three hundred jobs.
This forms part of the company’s bigger plan to expand operations in Asia.
KVG chief executive officer and co-founder Jazman Shahar Abdollah said they were already looking at three pieces of land in Mindanao and Luzon after conducting two ocular visits in the country.
“We have identified a few lands where we can start cultivating and doing the planting in the Philippines,” Abdollah said, citing in particular that they are looking for flat lands in places with tropical and sub-tropical climate where the plant can grow under ideal conditions.
Aside from the Philippines, Abdollah said they were also in the process of putting up plantations in other neighboring countries including Indonesia and Thailand. Their existing farms are in Malaysia and Cambodia.
The kenaf plant is a fast-growing crop under the hibiscus family that can grow to a height of 20 feet if tended well.
He said Kenaf plants can also be harvested a hundred days after planting, which makes two or three planting and harvest cycles possible within a year.
“In this business, we can do three cycles, which is more profitable. But if we want to do long-term business then we have to take care of the soil. That means that we cannot exhaust it,” Abdollah said, saying that two planting and harvesting cycles a year were ideal.
Abdollah said they were also intending to put up factories in the Philippines that could process the harvested plants, which would entail an additional investment of about $20 million to $25 million.
“After harvesting and within 24 hours, we need to bring that to the factory. At the factories, we use a few technologies. It depends on what we need at the end of the process,” said Abdollah.
Abdollah said they were planning to reach out to local firms to see what end products they could produce that have local demand in the Philippines.
