Pesama Timber Corporation Sdn Bhd was established in December 1973 under the State Economic Development Corporation of Terengganu and became the subsidiary of Golden Pharos Berhad through a corporate restructuring exercise completed in September 1995. Our timber resources come from our sustainable forest consession in Dungun and Cherul.
The forest is manages on a rotation cycle basis (sustained yield) under the FMU management system and is regulated by the Forestry Department of Malaysia. Our logs and sawn timber products are already certified by the Malaysian Timber Certification Council (MTCC) for a COC and are presently working for a certification.
This Forest Management Plan (FMP) has been prepared to serve as a general guide and to provide direction toward the sustainable management, production, growth and development, protection and conservation of the invaluable tropical rain forest (TRF) resources within the Cherul Forest Concession (CFC) in the State of Terengganu, Malaysia, over a time continuum. This FMP is, in effect, a continuance of the previous FMP for the same concession area which had expired at the end of 2000. Managed under the Malaysian Selective Management System (SMS) since the late 1970s, the whole of CFC which covers a total area of approx. 20,243ha is treated as a single and unique Forest Management Unit (FMU). The concession area is located in the southern corner of the State of Terengganu Darul Iman, bordering the State of Pahang Darul Makmur to the south. It comprises managed mixed tropical rain forest (TRF) land divided into a total of 59 compartments ranging in areas from 199.51ha to 486.03ha.
The legal right to the management of the concession area was bestowed by the Terengganu State Government upon the Terengganu State Economic Development Corporation (TSEDC) by way of a Forest Concession Agreement between the two parties, signed on 24 th September 1975. Following this signing, TSEDC appointed Pesama Timber Corporation Sdn Bhd (Pesama) to manage the concession area during the first cycle from 1976 till 2000. For the second cycle which was to cover a slightly longer period of 30 years, Golden Pharos Berhad (GPB) which is the parent company of Pesama had decided, during a management restructuring exercise in 1999, to hand over the management of CFC to the Kumpulan Pengurusan Kayu Kayan Terengganu Sdn Bhd (KPKKT) as from 2001. In this connection, the Concession Agreement was subsequently extended for another 25 years commencing from the year 2001 till 2025.

Now that this FMP was to begin only from 2009 onward, there was a clear lapse of 8 years between 2001 and 2009, during which period practically no active management of the area and its resource had taken place. This lapse in management was brought about by, not only the absence of a proper, written FMP to follow, but also the political scenario during those years which had contributed to some degree of uncertainty and hence a wait-and-see attitude among the parties involved. Under the circumstance, and for the purpose of maintaining professional and technical continuity, the period covered by this FMP is now extended to 2038, instead of 2025, i.e. in keeping with the 30-year period as prescribed by the Selective Management System (SMS) and instruction of Terengganu State Forestry Department (TSFD).

The implication of this change of dates to the Concession Agreement and working arrangement between the parties concerned will be sorted out in due course during the implementation of this FMP.

The preparation of this FMP was based on research on the available data and extensive use of the the consultant’s experience as well as results and findings from the following reports and Plans:
  • “The Inventory and Planning for Preparation of Medium-Term Forest Management Plan of Cherul Forest Concession” conducted and prepared by Mas Adi Enterprise in 2001.
  • The Forest Management Plan for Dungun Timber Complex (DTC) in Dungun Terengganu, which is also under the second clycle of Selective Management System for period 2008-2032 and was prepared by Bahtera NM Holding Sdn Bhd.
  • Pre-Felling Inventory reports of parts of Cherul Forest Concession area conducted by KPKKT.
The format used in preparing this FMP is mostly based on that prescribed in the Manual Perhutanan 2003, Jilid III, Lampiran 17.3.
Our primary operations are saw milling, timber treatment and kiln drying. The process of wood treatment for hardwood is quit extensive of which requires constant supervision by our team of specialist. The first procedure for the harwood is the process of the sawn logs. Our experts shall ensure that the sawn logs are of even thickness and constantly graded for quality. For kiln drying process, we apply the correct moisture content for the end use of the sawn timber. The correct material and the correct method for the stacking are applied for the drying process under the strict supervision of our experts. Pesama Timber Corporation Sdn Bhd also produces other timber product such as moulded timber, roof trusses, finger-jointed planks, laminated timbers and furniture.


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