INDONESIA – Chinese Packaging solutions company Lamipak is expanding its presence in Indonesia with a US$200 million investment in what it terms the country’s first aseptic packaging facility.

Located near Cikande in the Serang district, the facility will have a production floor space of 55,079 square meters and will be designed to have a capacity of 18 billion packs per year.

According to Lamipak, the production line is to be implemented in two phases with half of the total capacity expected to come online by the fourth quarter of 2023.

The factory will be equipped with “world-class machinery that adheres to Industry 4.0 allowing it to be the most advanced and connected factory that Lamipak has ever built”.

Kostiantyn Sinikov, managing director of Lamipak Indonesia, said: “Once the factory is commercially ready it will set a high benchmark on what a world-class packaging facility should be and will deliver a high-class service both to local and export customers.

In addition, its presence will bring benefits to the local communities and their businesses, as well as create new job opportunities in the area.”

Following the brand’s efforts to be more sustainable, the factory will also be installed with solar panels on its rooftop and abide by LEED Gold certification.

Equipment will also be designed with energy efficiency in mind, with plans to have it meet LEED Platinum, the highest standard that can be awarded from the association for leadership in energy and environmental design.

The company predicts that, once the final phase is complete, the factory’s capacity will be one of the biggest in the world.

The Asian region has been one of the leading markets for aseptic packaging products and equipment, owing to the dominance of local companies in the aseptic packaging industry.

Although the market volumes have been static in most of the areas in the region, growing innovations are expected to expand the industrial applications, according to Mordor Intelligence.

The market research firm projects that the Asia Pacific Aseptic Packaging Market is expected to register a CAGR of 12% during the forecast period between 2021 and2026.

Rapidly increasing demand from the pharmaceutical industry and the food and beverage industry are some of the factors expected to drive the demand for aseptic packaging in the region, presenting new opportunities for industry players like Lamipak.

Liked this article? Subscribe to Food Business Africa News, our regular email newsletters with the latest news insights from Africa and the World’s food and agro industry. SUBSCRIBE HERE.