Wilmar International Limited · SGX:F34
Wilmar International — Investor Day (April 2015)
38 slides from Wilmar International's investor day presentation, Apr 24, 2015
Slide 1: Wilmar International Limited Investor Day
WILMAR INTERNATIONAL LIMITED Investor Day April 24, 2015
Slide 2: Important Notice
IMPORTANT NOTICE Information in this presentation may contain projections and forward looking statements that reflect the Company’s current views with respect to future events and financial performance. These views are based on current assumptions which are subject to various risks and which may cha
Slide 3: Investor Day Agenda
Investor Day Agenda 1 Sustainability 2 Sugar 3 Oleochemicals and Biodiesel 3
Slide 4: 1. Sustainability – the Foundation of Today's Business Growth
1. Sustainability – the Foundation of Today’s Business Growth By Jeremy Goon, Chief Sustainability Officer 4
Slide 5: Sustainability Agenda
Sustainability Agenda 1 Supplier Engagement Updates 2 Progress on Traceability & Certification 3 Implementation of Policy Commitments 4 Indonesian Palm Oil Pledge Involvement 5 Sustainability Dashboard Highlights 5
Slide 6: Over 90% of palm oil trade now covered by No Deforestation/Peat/Exploitation policies
Over 90% of palm oil trade now covered by No Deforestation/Peat/Exploitation policies Dec 2013 Dec 2014 Mar 2015 Key Milestone: Commitment Targets by 31 Dec 2015 23 Jan 2015 • Integrated policy applied across • Launch of Wilmar’s operations (including 3rd party Sustainability suppliers) Dashboard •
Slide 7: Completion of a substantive phase of engagements with key suppliers
Completion of a substantive phase of engagements with key suppliers Supplier engagement highlights • Communication of No D/P/E integrated policy • Explanation of implementation process • Sharing of experience by suppliers Feb 2014 Mar 2014 Apr 2014 Jun 2014 Nov 2014 Sibu, M’sia Jakarta, Indo KK, M’s
Slide 8: On-track for full traceability back to mills by end 2015
On-track for full traceability back to mills by end 2015 Palm Oil Traceability Statistics for Jan – Dec 2014 100% Unknown 0% Traceable Lauric Oil Traceability Statistics for Jan – Dec 2014 100% Unknown 0% Traceable 8
Slide 9: Certification progress on-track to meet time-bound plans for RSPO certification
Certification progress on-track to meet time-bound plans for RSPO certification of our mills & supply bases Commitment Country Date Status Achieved in 2016 Target 2016 2010 1,000,000mt of certified palm oil Achieved in 2016 2014 Production capacity of certified palm oil 2016 On-track as of Jan 2015
Slide 10: Steady implementation of policy commitments
Steady implementation of policy commitments High Carbon GHG Emissions Smallholder Stock Approach Reductions Inclusion • Palm GHG • Active member of calculator V2.0.1 HCS steering • Collaboration with developed & group WildAsia to piloted • HCS workshops support SH • 6 + 9 Methane for consultants com
Slide 11: Involvement in multi-stakeholder commitments – IPOP
Involvement in multi-stakeholder commitments – IPOP signatory & steering committee member Indonesian Palm Oil Pledge Signatories IPOP Objectives • Improve environmental stewardship. • Engage with Indonesian government on regulatory reforms that support implementation of IPOP. • Expand social benefit
Slide 12: Sustainability dashboard receives good reception from a variety of stakeholders
Sustainability dashboard receives good reception from a variety of stakeholders …sincere thanks to …happy to see strong …miles ahead of the Wilmar for leading on this commitments to sustainability… competition, very easy effort and setting the courageous decision of full to navigate… example… transp
Slide 13: Sustainability Dashboard Highlights: Supply Chain Map
Sustainability Dashboard Highlights Supply Chain Map 13
Slide 14: Sustainability Dashboard Highlights: Traceability
Sustainability Dashboard Highlights Traceability 14
Slide 15: Sustainability Dashboard Highlights: Grievance Procedure
Sustainability Dashboard Highlights Grievance Procedure 15
Slide 16: 2. Sugar
2. Sugar By Jean-Luc Bohbot, Group Head of Sugar 16
Slide 17: Sugar prices (NY#11) – past 5 years
Sugar prices (ny#11) – from past 5 years 17
Slide 18: World Sugar Map
World Sugar Map (Sugar balance production-consumption) CIS North Western Asia North Europe America North Middle Africa East -1.5 -3.2 Central South Thailand -4.4 America America 7.4 South Asia 5.8 23.0 (excluding -4.9 Thailand) India continent -7.2 C/West Africa -7.1 -2.2 -5.7 -4.1 Oceania S/E 3.2 A
Slide 19: Consumption growth by 2025 = +35 Mt
Consumption growth by 2025 = +35 Mt CIS Western Europe +1.1 +0.2 N/C Middle America Asia East Indian +2.4 subcontinent +3.0 +9.6 Africa +7.4 South America +8.3 +3.0 ► Consumption growth = 3/3.5 Mt annually ► Asia will account for more than 50% of world consumption 19
Slide 20: Wilmar Sugar: our network
Wilmar Sugar : our network Wilmar Sugar Europe CSC Wilmar Myanmar Liquid sugar plants Cevital 0.1 Mt production Cosumar 1.5 Mt refining Wilmar Sugar Thailand 0.5 Mt production 1 Mt refining CSC Wilmar Sugar Trading Group Refinery Shree Renuka Headquarter 0.8 Mt production Associate/Partner Refinery
Slide 21: Our flows: raw sugar
Our flows : raw sugar – about 7 Mt 68% 21
Slide 22: Our flows: white sugar – Africa/Middle East major importers
Our flows : white sugar – Africa/Middle East major importers 52% 22
Slide 23: Our operations & products in Australia
Our operations & products in Australia 23
Slide 24: Our operations and products in New Zealand
Our operations and products in New Zealand 24
Slide 25: Our operations and products in Indonesia
Our operations and products in Indonesia 25
Slide 26: Our operations and products in Morocco
Our operations and products in Morocco 26
Slide 27: 3. Oleochemicals and Biodiesel
3. Oleochemicals and Biodiesel By Rahul Kale, Group Head of Oleochemicals & Biofuels 27
Slide 28: An introduction to our Oleochemicals and Biofuels businesses
An introduction to our Oleochemicals and Biofuels businesses Oleochemicals: Chemicals derived from natural oils and fats Biofuels: Fuel derived from natural feedstocks 28
Slide 29: Wilmar Oleochemicals and Biofuels Global Footprint
Wilmar Oleochemicals and Biofuels Global Footprint Europe • Biodiesel: 0.40m MT China • Basic Oleo: 0.16m MT • Biodiesel: N.A. • Oleo Derivatives:0.16m MT • Basic Oleo: 1.0m MT • Oleo Derivatives: 0.43m MT United Kingdom Netherlands Germany Belgium Italy France China Indonesia & Malaysia India • Bio
Slide 30: We have made significant investments to grow Oleochemicals and Biofuels
We have made significant investments to grow Oleochemicals and Biofuels Oleo and Biodiesel Capacities (M, MT) Biodiesel Basic Oleo Oleo derivatives 8 7 6 5 4 3 2 1 0 2010 2011 2012 2013 2014 30
Slide 31: Malaysia and Indonesia
Malaysia and Indonesia Pasir Gudang, Malaysia – Natoleo Sdn Bhd Gresik, Indonesia – Integrated Complex 31
Slide 32: Satellite image of Gresik integrated site
Satellite image of Gresik integrated site – 110 Ha Oleochemicals and Biodiesel sites 32
Slide 33: China
China Shanghai, China – Fatty Acid plant Lianyungang, China – Fatty Acid & Alcohol plant 33
Slide 34: India
India Mundra, India – Fatty Acid plant 34
Slide 35: Europe
Europe Rozenburg, Netherlands – Fatty Alcohol plant 35
Slide 36: Our portfolio covers higher-margin downstream derivatives of palm
Our portfolio covers higher-margin downstream derivatives of palm Production volume by type (M, MT) ~24 ~6 ~3 Biodiesel, ~3 Other Basic Oleo, Other Palm and ~2 Laurics, ~18 Basic Oleo, ~3 Oleo Derivatives, Oleo & Bio, ~6 ~1 Palm & Laurics Oleo & Bio Basic Oleo Lower margin Intermediate margin Higher
Slide 37: Maturing from a product focus to a market segment focus
Maturing from a product focus to a market segment focus • Strengthen innovation and application know-how • Expand regionally to meet customer demand for derivatives 37
Slide 38: Thank You
Thank You 38