Cempaka Nature, Agriculture and Environment: Malaysian investor wants to invest in CPO production in S Sumatra

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Saturday, April 28, 2007

Malaysian investor wants to invest in CPO production in S Sumatra

Palembang, S Sumatra (ANTARA News) - HDZ Biodiesel Corporation Sdn Bhd of Malaysia wished to invest US$50 million to US$60 million in oil palm plantations in South Sumatra, a Malaysian official said.

The wish was conveyed in a meeting between Malaysian Ambassador to Indonesia Dato Zainal Abidin Zain and HDZ Biodiesel Corporation Sdn Bhd chairman Datuk Seri Azumi Muhammad, and South Sumatra administration officials including administration secretary Musyrif Suardi and administration assistant for economic, financial and development affairs Budi Rahardjo here Friday.

Datuk Seri Azumi said his company believed that its investment in crude palm oil production in the province would be successful as the political life in Indonesia in general and in South Sumatra in particular is stable.

The location for a CPO factory had not been determined although the Malaysian ambassador and the investor company had already visited Bengkulu and Palembang.

Meanwhile, Musyrif said South Sumatra had allocated 3.2 million ha land for plantations and other horticultural crops, 2.2 million ha of which had already been planted with rubber, oil palm, coffee, and horticultural crops since 2004.