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Milk producer Frisian Flag Indonesia to build new $265m factory
The expansion was first announced during the Dutch king and queen's visit to Indonesia in March 2020.
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Frisian Flag president director Maurits Klavert (light blue batik), Industry Minister Agus Gumiwang Kartasasmita (brown batik) and BKPM deputy for investment promotion Ikmal Lukman (white shirt) during the groundbreaking ceremony in West Java on March 9. (BKPM/Genta and Deddy)
M
ilk manufacturer PT Frisian Flag Indonesia (FFI) has begun developing a new production facility worth Rp 3.8 trillion (US$264.6 million) in the Cikarang industrial district in West Java.
The new facility, developed on 25.4 hectares, is expected to start operating in 2023, according to Frisian Flag president director Maurits Klavert. It will include a factory, office and logistics and distribution center.
The facility is also expected to employ 850 workers, according to the Investment Coordinating Board (BKPM).
“With the development of our business, it will clearly increase the procurement of fresh milk from cattle breeders in Indonesia and improve cooperation with our business partners, either the suppliers or the hundreds of our distribution partners spread across the country,” Klavert was quoted in a news release as saying on March 10, a day after the company held a groundbreaking ceremony.
Read also: Indonesia, Netherlands sign US$1b worth of deals during Dutch king visit
Frisian Flag operates two production facilities in Ciracas and Pasar Rebo districts in East Jakarta, and employs more than 2,000 workers nationwide, according to its website. The company produces ready-to-drink milk, condensed milk, powdered milk and infant formula.
The groundbreaking ceremony took place around four months after the meeting between BKPM head Bahlil Lahadalia and Hein Schumacher, the CEO of Frisian Flag Indonesia’s parent company, FrieslandCampina, in The Hague, Netherlands.
