JAKARTA (TheInsiderStories) – Kerry Group (LON: KYGA) invests 30 million Euros (US$36.14 million) in Indonesia to build second manufacturing of taste facility in Karawang, West Java. The taste and nutrition company has announced that investment will increase its footprint in the fast-growing of Southeast Asian (SEA) market.
This facility will be its first greenfield investment in SEA and will encompass a flavor manufacturing site along with a sampling hub and a research and development pilot plant, allowing this new site to support Kerry’ fast-growing taste business and its food and beverages systems across all food categories.
“Kerry is committed to meeting the growing demand from customers within Indonesia and South East Asia. This new investment is made with current and future customer needs in mind and the important role that taste can play in enabling the transition to healthier and more sustainable diets,” said Antoine Nourrain, general manager, Taste APMEA, in an official statement released on Monday (04/19).
He continued, the construction has started and the plant will be operational late 2022. Kerry has offices in 31 countries, 149 manufacturing facilities and employs 26,000 people globally, including over 1,000 food scientists.
Commenting on the announcement, John Savage, CEO Global Taste stated, “The Southeast Asian taste market is valued at circa 900 million Euros and growing in strong single digits with a huge opportunity for further development and innovation.”
Recently, the ministry of industry sees the non-oil and gas processing industry, including food and beverages, to grow 3.95 percent in 2021, based on the assumption that the COVID-19 pandemic can be controlled and vaccines are gradually available in Indonesia. Before the COVID-19 pandemic, the department still optimistic the industry sector could grow 5.3 percent.
The sub-sectors that support the improvement of national manufacturing performance during the current pandemic include the pharmaceutical industry, products, chemical drugs and traditional medicines, the chemical industry and goods made of chemicals, the basic metal industry, and the food industry.
“For 2021, we are optimistic that all sub-sectors of the non-oil and gas processing industry will improve so that they can encourage higher growth,” said the official.
Nex year, the investment in the manufacturing industry is projected to grow by 22 percent to Rp323.56 trillion ($22.16 million compared to 2020.
US$1: 0.83 Euros, Rp14,100
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