Bogasari opens flour blending facility in Singapore

by Emily Buckley
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SINGAPORE — PT Bogasari, the flour milling arm of Indonesian food giant PT Indofood Sukses Makmur, has set up a S$12 million (U.S.$6.9 million) flour blending facility in Singapore, according to several regional news agencies.

A Bogasari official in Jakarta is quoted as saying that the company planned to export various wheat flours to Singapore in containers and blend them at the new facility to produce specialty flours.

The 4,510 square-meter plant in Tuas, a port and industrial area, can blend 12 tonnes of specialized flour per hour. The facility, Bogasari’s first mill outside Indonesia, also will house a research and development team to develop new products to meet specific client requirements.

The company plans to use Singapore as its main platform to expand into the Asia-Pacific market, the news reports said. Bogasari enjoys a 70% share of the Indonesian wheat flour market, and the company aims to increase contributions from overseas sales to 5% from the current 2% over the next five years.

Bogasari plans future investment in Singapore in frozen dough products, pre-mixes, ingredients trading and other flour-based products, the reports said.

Bogasari revenues in 2002 reached about S$868 million (U.S.$500 million) last year, most of which were derived from its domestic market.