Kuala Lumpur Kepong SWOT Analysis, USP & Competitors

Kuala Lumpur Kepong

Parent Company

Kuala Lumpur Kepong Berhad ("KLK")

Category

Food Processing

Sector

Food & Beverages

Tagline/ Slogan

Striving towards excellence

USP

The Group’s rubber plantations yield a steady annual production of premium SIR/SMR grades and latex concentrate, meeting with the MS ISO 9002 standards

Kuala Lumpur Kepong STP

Segment

Business segments: Plantations, Oleochemicals, Property

Target Group

Food manufacturing industry and Industrial & Consumer Food catering industry

Positioning

Strive to be the most preferred producer and supplier of innovative and sustainable palm-based oleochemical products and derivatives for all major global markets

Kuala Lumpur Kepong SWOT Analysis

Strengths

1. Group’s oil palm and rubber plantations today stand at approximately 250,000 hectares in Malaysia and Indonesia
2. KLK OLEO is one of the largest manufacturers of renewable palm-based oleochemical products and derivatives in the oleochemical industry
3. With numerous successful acquisitions and world class subsidiaries, it is able to reach out and service a global clientele across Asia, USA and Europe
4. Most of its major manufacturing facilities are in Malaysia. Some of the prominent ones are Palm Oleo SdnBhd., which is one of the world’s biggest standalone Oleochemical producers, and KSP Manufacturing Sdn. Bhd., which is known for its signature product, Palmosalt

Weaknesses

1. Uncertainties in the form of commodities price risk, credit risk, foreign exchange risk and interest rate risk.

2. Manpower constraints, pressure on increasing operating costs and extreme weather in the plantation division

3. Palm oil industry faces huge number of unresolved land conflicts due to land grabbing

Opportunities

1.Demand for palm oil would remain strong as consumption increases in select emerging economies coupled with the general global population growth
2. Expansion into Indonesia is through the acquisitions of interest in oil palm estates

3. Emerging biofuel market

Threats

1. Highly competitive market

2. Fluctuation in foreign exchange rates

3. Government regulations

Kuala Lumpur Kepong Competition

Competitors

1. Golden Agri-Resources Ltd

2. IOI Corp Bhd

3. Astra Agro Lestari Tbk PT