Asia Pacific Rayon (APR) is due to complete the construction of what is thought to be Indonesia’s largest integrated rayon facility by August – a move that will help support the development of a national textile industry and help the country reduce its dependency on imported materials.
Worth US$1.8m, the new facility will have a production capacity of up to 350,000 tonnes per year and will include a research laboratory. All of the production will be from 100% renewable existing plantation supply that has been legally certified nationally and internationally.
As well as supporting downstream business development, APR’s factory will generate jobs and fulfil domestic demand. An estimated 4,230 and 1,218 jobs will be created in the construction and operational phases respectively, while the construction will potentially contribute to an increase in Riau Province’s GDP of up to 1.49% from the non-oil and gas sectors.
The new factory will similarly boost business for micro, small and medium-sized enterprises across the various sectors involved in the factory’s operational activities and will have a positive impact on sustainable development, especially in Riau Province and Indonesia in general.
Rayon fibre is originated from natural plants and APR’s products are applied to various industries such as clothing, bedding, wet wipes, and masks, amongst others.
Director of APR, Thomas Handoko, says that by increasing the production of rayon fibre in Indonesia, APR will support the domestic production of textile materials, decreasing raw material importation and helping to boost the country’s competitiveness globally.
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By GlobalDataMeanwhile, Indonesia’s Minister of Industry, Ir. Airlangga Hartarto, has acknowledged the group’s investment and its commitment to the government’s strategic goal of establishing a textile industry to compete globally.
