Cargill Invested US$ 100 million to Build Factory in Pandaan, East Java

Cargill Invested US$ 100 million to Build Factory in Pandaan, East Java

InfoSAWIT, SURABAYA – Besides managing palm oil plantations, Cargill also invested US$ 100 million to sweetener factory, PT. Sorini Agro Asia Corporindo in Pandaan to build corn wet mill and multiply starch dryer to fulfill the increasing demands of the customers on starch, sweetener, and woof for the breeders. The facilities would operate in 2022.

“The new corn wet would enable us to buy corn, process it to be starch, and sweetener. By developing bigger product and production capacity portfolio, we would be in right position to support the increasing demand plans of our customers,” Managing Director, Cargill Starches, Sweeteners & Texturizers (CSST) Asia, Franck Monmont.

According to Monmont, the investment showed the commitment of the company to keep growing in Indonesia and would significantly support the local economy by providing access for the farmers to get sources of income.

The mill of Cargill in Pandaan started operating in 1983 and it imports starch (tapioca and corn) and changes it to be sweetener, such as, glucose, sorbitol, and maltodextrin. By the new facility, Cargill would always produce sweetener and multiply the new products, such as, corn starch, corn gluten meal, corn gluten feed, and corn germ.

Cargill would be ready more to collaborate with the customer to fulfill their increasing demands, starting from the confectionary, dairy, convenience foods, personal care, paper industries, and animal woof.

“We invested and expanded the sweetener mill in Pandaan in the same time when the government of Indonesia identified the needs of increasing investment in agricultural sectors, Cargill Starches, Sweeteners & Texturizers (CSST) Managing Director for Southeast Asia and Country Representative for Indonesia, Sunit Dhoka.

According to Sunit Dhoka, based on the Investment Plan Coordination Agency, it was only 3% of foreign direct investment in Indonesia in 2019 in agricultural sectors though they provided 29% of total employment in this country.

“We are optimist that our investment would give the positive because our operational creates the sustainable demands to support the upstream sectors in agriculture in Indonesia, namely in East Java,” he said.

Cargill now has 20.000 workers in 60 locations in Indonesia. Besides the direct total investment reaching US$ 800 million in Indonesia in the last five years, covering the new mill construction in Pandaan, Cargill also contributed more than US$ 5 million to non-government organizations in Indonesia to support the health, education, and people’s empowerment. (T2)


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