Cargill has announced that it is building a new $200 million palm oil refinery in Lampung, Indonesia, as it looks to accelerate its efforts to develop a sustainable palm supply chain.
Construction work on the new facility has already begun and is expected to be completed late next year.
With the new refinery, Cargill expects to be better able to meet customers’ expectations of sustainability and transparency, by guaranteeing traceability to plantation.
The agribusiness giant says that the Lampung facility will play a key role in connecting sustainable crude palm oil production in Indonesia to the North American and European markets through a “fully integrated supply chain from plantation to customer”.
“This project is a key step for Cargill to increase the availability of sustainably sourced and produced edible oil ingredients for our customers, helping Cargill to fulfil its purpose to nourish the world safely, responsibility and sustainably,” said Robert Aspell, president of Cargill Asia Pacific.
“In addition, this fully integrated supply chain offers our customers assurance that stringent production requirements and the highest product quality are achieved.”
Cargill says that recent years have seen strong demand for palm oil, and the Lampung investment follows an announcement late last year of a $20 million project to expand and modernise the company’s palm oil production facility in Port Klang, Malaysia.
© FoodBev Media Ltd 2021
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