PETALING JAYA (Nov 12, 2013): Johor Port Bhd, a wholly-owned subsidiary of MMC Corp Bhd, and Felda-Johore Bulkers Sdn Bhd (FJB) will explore possible strategic areas of collaborations between the two companies.
The two companies today signed a memorandum of collaboration for the purpose, which could potentially expand their respective businesses and create benefits and synergies for the overall profitability and growth of both companies.
For starters, Johor Port and FJB have identified joint promotion of FJB's liquid vegetable oils storage facilities and Johor Port's expertise in the areas of edible oil port terminal operations as areas for collaborations.
"One of the strategic collaboration opportunities we are exploring is the possibility of working together in areas related to liquid bulk terminals operations. We are looking to identify prospective locations in the northern region as well as in Sabah and Sarawak before moving to the international arena," said FJB director Mohd Emir Mavani Abdullah, who is also Felda Global Ventures Holdings Bhd president and CEO, in a statement today.
Johor Port chairman Datuk Mohd Sidik Shaik Othman believes the collaboration is a step in the right direction to bring the Johor Port group to the next level of growth.
"We are looking at the prospect of working together in the areas of other logistical supports including warehousing and/or maintenance and repairs.
"Both FJB and JPB could have a common workshop for fleet maintenance which would in the mid to long- term benefit both parties in terms of cost savings," said Sidik.
FJB, a 72.7%-owned subsidiary of Felda Holdings Bhd, owns the largest and most advanced vegetable oil terminal in Malaysia, handling between 25% and 50% of the country's total palm oil exports. Its terminal in Pasir Gudang, Johor, comprises 294 storage tanks with a total capacity of 401,150 tonnes.