Dairy producer PT Greenfields Indonesia kicked off on Thursday operations on its second milk factory in Malang, East Java.
The new factory, located in Palaan subdistrict, was built with an investment of Rp 335 billion (US$25.18 million). With an annual production output of 70 million liters of milk, the new factory will support another production facility in Babadan, another subdistrict in Malang, which produces 40 million liters of milk annually, or 5 percent of total national demand.
The firm, a subsidiary of Australia-based AustAsia Dairy Group, said the facility will strengthen its position as a major integrated dairy producer in the country.
“We see lots of opportunity to bring out new fresh innovative dairy products using really good-quality milk. The consumers want better products, so this factory will help us fulfill the demand,” said AustAsia managing director Edgar Collins after Thursday’s launching ceremony.
Collins said products from the new facility, ranging from milk, yoghurt to cheese, will be more focused to fulfill domestic demand.
Seventy percent of the firm’s sales comes from the local market and the remainder from exports to Hong Kong, Singapore, Malaysia, Brunei Darussalam, Philippines, Myanmar and Cambodia. (hwa)