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Rabu, 30 Maret 2022 13:36:00

APRIL Group Invests in Sustainable Paperboard Packaging Mill to Support Indonesia's Economic Development

New production facility is aligned with the Indonesian Government's plans to develop green economy and drive sustainable development

Additional supply for expanded production capacity will come entirely from APRIL's existing supply chain

PANGKALAN KERINCI, RIAU, INDONESIA - 30 March 2022 - Leading sustainable fibre and product producer Asia Pacific Resources International Limited (APRIL Group), a member of the Singapore-headquartered RGE group of companies founded by Sukanto Tanoto, has strengthened its commitment to supporting the growth of the green economy in Indonesia.

The company is set to expand its product portfolio in the downstream sector by investing IDR33.4 trillion (US$1.9 billion) in a sustainable paperboard production facility.

The construction of the new facility - which will be located at APRIL's operations in Pangkalan Kerinci, in Riau province, Sumatra - is one of the largest manufacturing investments in Sumatra in the last decade. The investment is expected to support Indonesia's continued economic development and recovery following the COVID-19 pandemic through the diversification of sustainable downstream fibre products with added value.

When completed, the paperboard packaging facility will be capable of producing 1.2 million tons of folding box board annually that is fully recyclable and biodegradable. This growth is to meet the demand for more environmentally friendly packaging products in the domestic and international markets.

Speaking at a ceremony to mark the construction of the new production facility, Airlangga Hartarto, Coordinating Minister for Economic Affairs said: "We warmly welcome this investment by APRIL Group, which will improve the wellbeing and prosperity of the local communities while also boosting national economic development. The government will continue to develop strategies to support the recovery of national exports through strengthening market access and helping to improve product competitiveness".