JAKARTA (TheInsiderStories) - State controlled pharmaceutical company PT Kimia Farma Tbk (IDX: KAEF) start the construction of raw materials plant for drugs or Active Pharmaceutical Ingredient (API) Phase II in West Java. The commercialization of the production of API is planned in early 2018.
Previously, KAEF has built a factory of pharmaceutical raw materials salt Phase I in the same areas as a follow up of the cooperation joint venture (JV) company between Kimia Farma with PT Indonesia Sungwun Pharmacopia Pharmacopia representatives of Sungwun Co. Ltd. of South Korea called it, PT Kimia Farma Sungwun Pharmacopia on Jan. 25.
The API located in Industrial Area Lippo Cikarang, Bekasi area of 5,000 m2 of 6 hectares provided. Drug raw materials production is to meet 100 percent of the entire pharmaceutical industry in Indonesia for the last eight of the raw materials and the rest for export markets.
In addition, the plant will also produce the High Function Chemical (HFC) which can be used as raw material for cosmetics and food supplement, which all results HFC products will be exported to Korea, Japan and America.
Previously, President Director of Kimia Farma Rusdi Rosman said the company has decided to set aside Rp1 trillion for capital expenditure this year to improve its performance as well as provide better services to the public.The funds will be used to build the new factory in Cikarang, in Banjaran, Bandung as well as salt for pharmaceutical industry in Jombang, East Java. In addition, the company will set up 125 pharmaceutical stores in a number of cities this year with budget allocation of between Rp150 billion to Rp200 billion.