FGV Expands Palm Oil Storage Tanks in Light of Increased Biodiesel Demand

Due to increasing market demand and to fulfil the government B20 biodiesel mandate for the transport sector, FGV has expanded its bulking facility by adding six new vegetable oil storage tanks. Four of the tanks are located in Pasir Gudang, Johor with 10,400 metric tons capacity completed in August 2020 and two tanks with 5,200 tons capacity in Port Klang, Selangor completed in February 2020, are ready for use. Nine additional tanks in Tanjung Langsat, Johor with 20,000 tons capacity are currently under construction and will be completed by the third quarter of 2021.

“Moving forward, FGV plans to expand its bulking business overseas and we are exploring the best options available,” said FGV Group CEO Dato’ Haris Fadzilah Hassan. FGV operates its bulking and storage business through its subsidiary, FGV Johor Bulkers Sdn Bhd (FJB). FJB handles 25% of Malaysia’s total palm oil exports.  In 2019, FJB ventured into the handling of basic chemicals in line with its strategy to expand beyond vegetable oil and it also operates two warehouses for the storage of palm kernel expellers (PKE), palm kernel shells (PKS) and grains.