Dear Friends of i3 Forum

They say, "SEEING IS BELIEVING"

And a Picture is worth a Thousand Words

Calvin joined a very small Whatasapp Group of around 100 Invited Members

The Name is called "EAGLE VISION FIRST MOVER"

1) It has Eagle Vision

An eagle sees the furthest by virtue of its great eye-sight. The eagle is the 1st to see among birds

So we hope to SEE AHEAD of the Market

 

2) It is called "FIRST MOVER"

We also hope to move First in the Market. We are not followers but Seek to Move Independantly 

 

So far so good

Among our group is Mr. Lee from Perak. He owns a small 45 Acres Oil Palm Estates

And this is what he shared with us

Mr. Lee said the Hock Chew people of Manjung are the happiest people in Malaysia by virtue of them being owners of Palm oil Plantations: All are laughing their way to the Banks as FFB (Fresh Fruit Bunches) are now at World Record High

Mr. Lee called Calvin in Singapore and gave a breakdown of his Oil Palm business

1) Mr. Lee bought those Palm oil lands and started planting new crops about 5 years ago.

Now they are starting to bear Fruits (Not the most fruitful age yet as it is still young at about 5 years old)

 

2) At the time he first shared FFB was Rm940. Latest FFB has risen to the Unbelievable price of Rm1,040 per metric ton

See the [payment voucher]

 

 

 

The Above showed Mr Lee sold 3.67 Tonnes of FFB (Fresh Fruit Bunches) at the Amazing Price of Rm1,040 per ton or Rm3,816.80 in total from just one sample.

 

3) Then he gave a breakdown

Applying fertilizer, weed killer & cost of transportation came up to Rm250 per ton of FFB

 

4) The Net Profit

Rm1,040 less Rm250 = Rm790

That is Rm790 divides by Rm250

= 3.16 (X) Times

That is A Whopping 316% Profit! Simply mind blowing for him & all the happy Oil Palm Estate owners of Perak

At Rm790 x 45 acres = Rm35,550 monthly retirement income

That is also why Mr. Lee has bought into many Oil Palm shares.

 

Who is Mr. Lee?

I met Mr. Lee sometime in year 1990 in KL when he used to come down to KL to collect Used Cars for Sale.

Some years later his Used Car Business grew big & he bought a nice  piece of prime land with Visible Road Frontage in Manjung to rent out to Banks who stored repossessed cars on his land & also his own car show room as well

After 25 years this land became so prime & valuable Mr. Lee decided to build houses as a Developer for Sale. It was a huge success. Now nearing retiring age Mr. Lee has diversified into Oil Palm Plantation for regular source of income which he thinks is quite simple & easy

Now. We as a group also did our Research by calling up the Captains of Oil Palm industries by phone, whasapp & e-mail

To our glad & happy surprise most of listed Company CFO, COO, CEO, Company Accountants & Secretaries of Oil Palm Companies are sanguine about the Oil Palm Business

Mr. Shane, the Assistant Manager of IjmPlant said

"ESG concern and the cutting of forest does not apply to us Planters because it was the Loggers that cut down the forest so when we arrived at the scene the land has already been cleared. So we just did the planting. 

"And at this time all Oil Palm planters should be very happy"

As to hedging:

"Ijm Plant company policy allowed forward sales up to 50% but they usually only did up to 20% or 30% only

Jtiasa last quarter made a loss from forward sales and now no more so Jtiasa should see better results

As for TAANN & SOP they don't sell forward which is very excellent. Tsh resources only does 10% to 15% forward sale which is minimal

So it looks like Great Times are AHEAD For Most if not all Oil Palm players

Yes, Mr. Lee called up one oil Palm listed company & was very furious (We can't disclose name here)

He has been holding this Company share for umpteen years and yet he saw them reporting losses after losses

So he called them up & spoke to the company accountant

He said, "We know oil palm companies have gone through a very tough time & rough patch when FFB fell below Rm300 a ton & Cpo below Rm2,000 a ton. But at this time. Mr. Lee emphasized his words, "BUT AT THIS TIME" When FFB Prices have reached Rm1,000 World Record high how could you be making losses?

Don't tell me if all Car dealers are doing roaring business you have bought some stolen cars & suffered losses? By way of example

So how could you guys still made losses at this time?

Mr. Lee has to pay more for Fertilizer & Weed Killer being a small timer. Listed Company got savings by bulk purchase.

So don't tell me AT THIS TIME you can still report losses?

The accountant replied,

"Oh, we have a lack of fruit harvesters. Our palm oil trees are planted in the most inaccessible places & hard to reach. Also our fruit yield is among the lowest among all listed Companies"

THAT WAS  VERY LAME SILLY EXCUSES & MORE EXCUSES which made Mr. Lee angry

How come you being a listed company acted so foolishly by buying Inaccessible oil palm trees which are so hard to harvest? Why you perform worst than ordinary small timers who are making the most money while you being listed for decades are STILL MAKING LOSSES?

 

"Oh talk to my Boss" I am only a small accountant in the company

Mr. Lee concluded that there must be hanky panky and leakages.

Like this

When they collected FFB for sale

Say out of 10 lorry load of FFB (Fresh Fruit Bunches) only 7 to 8 lorries reached the Palm Oil Mill while 2 or 3 lorries are diverted "Elsewhere"

That is still endurable because they show up a profit

NOT WHEN YOU DIVERT 7 OR 8 LORRIES OF FFB AWAY AND ONLY REPORT 2 OR 3 LORRIES OF FFB!

THAT IS REALLY JUST TOO MUCH AS THE RESULT SHOW LOSSES???

So we learn as we go along

Among the Most Clean and Honest Company is TAANN (AN EXCEPTIONAL HONEST COMPANY WELL MANAGED)

SOP is also very transparent. 

Hopefully, we can discover & uncover more & more honest & good companies to invest in

 

Warm regards to all,

 

Calvin Tan

 

Please buy or sell after doing your own due diligence or consult honest remisier and honest fund manager

 

 

 

Above lorry with Fresh Fruit Bunches should go to the correct palm oil mill

 

VERY HONEST ONES

100% ACCOUNTED FOR FROM OIL PALM PLANTATION TO MILLS OR REFINERIES

 

Not so honest

One or two lorries could be diverted "ELSEWHERE"

 

Corrupted Ones

Lots of leakages

 

SEEK OUT THE MOST HONEST, EFFICIENT & TRANSPARENT ONES TO PUT YOUR HARD EARNED MONEY IN