The Toyo Ink Group is preparing to expand plastic colorant business in Indonesia. Group company Pt. Toyo Ink Indonesia, which currently operates a gravure ink plant in the suburbs of Jakarta (Bekasi, West Java Province), is poised to enter the plastic colorant business. It has acquired an additional site with an area of 50,000m2 in Greenland International Industrial Center (GIIC), also located in Bekasi, where it plans to build a new plant for the production of plastic colorants.
Pt. Toyo Ink Indonesia plans to start construction of the plant in October 2011, aiming for commencement of operations in August 2012. The plant will have a total floor area of approximately 6,000m2. The company plans to start production with three to four extruders and to subsequently expand production facilities in phases.
Pt. Toyo Ink Indonesia will commence local production of colorants for containers and packaging materials, which it previously imported from Toyo Ink Group manufacturing bases in other countries to sell on the Indonesian market. It plans to develop a wide customer base across a range of industries including office automation equipment, home appliances and automobile-related industries, where expansion in the Indonesian market can be expected in the future.
The company is also considering developing the plant into a production and export base for general consumer goods such as hygiene products and solar cell parts, which, with the rising standard of living in Southeast Asia, have potential for market growth in the future.
At the new plant, Pt. Toyo Ink Indonesia plans to produce mainly master batch products, including colorant resins and compounds manufactured under contract, and aims to achieve monthly production volume exceeding 500 tons by the end of 2012 and annual production volume exceeding 10,000 tons from 2014 onwards.
The Toyo Ink Group positions Indonesia and other growth markets such as India and Brazil as strategic regions for global business development, and plans to speed up development and expansion of operations in the steadily growing Indonesian market before moving on to other promising markets.