Logo of Phnom Penh Post newspaper Phnom Penh Post - Tycoon to beef up palm oil products

Tycoon to beef up palm oil products

Tycoon to beef up palm oil products

Cambodian agriculture tycoon and CPP Senator Mong Reththy launched his company’s second palm oil processing plant in Sihanoukville province yesterday, to keep up with increasing yields of palm oil.

The $20 million processing plant is located in the Prey Top district of Sihanoukville and is a joint venture between Mong Reththy Investment Cambodia Oil Palm and Thailand-based TCC Group.

Reththy, chairman of Mong Reththy Group, said during the launch of the plant that with increasing yields, the first plant, which was launched in 2002, can process only 30 tonnes of crude palm oil per hour, which was insufficient to match the current capacity needs.

“Due to the growth of fresh palm oil day by day, it was required to build this second plant that can process 45 tonnes per hour, with an investment capital of about $20 million,” he said.

However, Reththy said that the price of palm oil in the global market has been dropping from $1,200 per tonne of crude palm oil in 2012 to just $600 per tonne earlier this year.

“Now, the company also plans to build a cooking oil processing plant to supply domestically and for export too,” Reththy said.

As of February, Reththy’s company had 16,000 hectares of palm oil trees, 8,000 of which were ready for harvesting, with plans to extend the farm to 30,000 in the future.

Last year, the company exported 22,000 tonnes of crude palm oil, up from 19,000 tonnes in 2013. But price falls had significantly cut into the firms revenue.

MOST VIEWED

  • Phnom Penh unveils rules for post-lockdown transition

    The Phnom Penh Municipal Administration issued a set of detailed guidelines for the seven days to May 12 after the capital emerges from lockdown at the onset of May 6. In the 14-page document signed by municipal governor Khuong Sreng released on the evening of May 5, the

  • SBI LY HOUR Bank Launches Cross Border Money Transfer Service between Cambodia and Vietnam on RippleNet, utilizing DLT

    SBI LY HOUR Bank Plc and Hanoi-based Tien Phong Commercial Joint Stock Bank (TPBank) on Friday launched the first Cambodia-Vietnam money transfer service in real currency via RippleNet, provided by SBI Ripple Asia Co Ltd to provide safe, fast and convenient services. SBI LY HOUR

  • Gov’t issues guidelines as lockdown nears end

    The government has issued a five-page set of instructions to be enforced when the three-week lockdown of Phnom Penh and adjacent Takmao town in Kandal province ends on May 6. According to an announcement signed by Prime Minister Hun Sen on May 4, the instructions cover a

  • Cambodia ready to exit LDC status

    Cambodia is well-prepared to minimise economic risks when it graduates from its Least Developed Countries status, according to a senior official at the Ministry of Commerce on May 7. Four LDCs – Cambodia, Laos, Bangladesh and Nepal – met at a virtual workshop last week to explore potential

  • Nine US franchises eye Cambodia debut

    Nine famous US franchising companies are looking for business opportunities and expansion into Cambodia to build a footstep for a strong foundation in Southeast Asia. The US embassy in Phnom Penh, in partnership with the US Foreign Commercial Service and with support from the American

  • Lost in translation: ‘Starvation’ in capital’s designated red zones

    “DACH bay” is a Khmer slang meaning a “loss of income”, that could also be literally translated to «deprived of rice”, which alludes to starvation. However, civil society organisation (CSO) officials have independently confirmed the government’s prior assertions that there are no cases of