Minister of Industry Officially Launches Rp 4.77 Trillion Oleochemical Plant in Dumai

INDUSTRY.co.id - Dumai, Minister of Industry, Airlangga Hartarto today inaugurated the first oleochemical plant in Indonesia owned by Sinar Mas Cepsa. Factory with investment value of 300 million Euro or equivalent to R 4.77 trillion located in Nerbit Kecil Hamlet, Lubuk Gaung Village, Dumai, Riau.

"The plant will produce fatty alcohols from sustainable palm kernel oil as the main ingredient in the production of daily-use products, such as household cleaning and personal care," Airlangga said in a written statement in Dumai, Riau, on Thursday (14 / 9/2017).

He added that the construction of this plant is not only seen from the business side, but can be as an export door for Indonesian palm to European countries,

"These networks together with Europe are very important, besides Palm Oil Indonesia which is often connoted badly but with this cooperation we hope will bring good name," he said.

On the other side, Franky O. Widjaja, Chairman of Sinar Mas Agribusiness and Food, said the joint venture was created with a vision to become a vegetable based fatty alcohol producer and its leading global-scale derivatives and with sustainable supply of raw materials.

As is known, Sinar Mas Cepsa is a joint venture between Sinar Mas Agribusiness and Food with Cepsa, a Spanish energy company.

"The vertical integration of Sinar Mas Cepsa and the launch of the plant in Dumai is an important step we take to achieve this vision through which we can increase the value added for palm oil derivatives products and continue to create jobs in Indonesia," Franky said.