Barry Callebaut And Garudafood Extend Indonesian Supply Partnership

Thursday, November 29th, 2018 | 1062 Views

Garudafood and the Barry Callebaut Group have signed  an additional agreement for the long-term supply of another 7,000 tonnes of compound chocolate per year to Garudafood’s biscuit factory in Rancaekek, a sub-district of Bandung, Indonesia. 

Additionally, the concept of “plant-in-plant” will be implemented in the Garudafood’s Rancaekek biscuit factory and an investment of CHF 2.8 million (IDR 40 billion) will be pumped in to facilitate this expansion. In fact, it is projected that the collaboration between the two companies will continue to be fuelled by joint innovation activities which would further strengthen the position of Garudafood as a market leader in Indonesia. 

This second long-term agreement is proof of the commitment towards a successful partnership by both companies, which stemmed from their first agreement in June 2015. And as a result of the agreements signed, Barry Callebaut has built its first chocolate factory on Garudafood’s Gresik factory premises and is supplying more than 10,000 tonnes of compound chocolate per year to Garudafood.

CEO of Garudafood Hardianto Atmadja, has said, “This collaboration is also part of our ‘open innovation’ strategy and in support of Industry 4.0, so that our products made are of world-class quality. We further intensify the collaboration with Barry Callebaut which will support the performance of Garudafood in producing innovative products to provide added value for Indonesian and foreign consumers.”

Ben De Schryver, President of Barry Callebaut Asia Pacific, has also added that: “It is truly an honor for us to further strengthen our relationship with Garudafood, a true leader in its field. This business expansion will also solidify our footprint in Indonesia, the world’s fourth most populous country with more than 260 million people and one of the most vibrant economies in Asia Pacific.”

Barry Callebaut’s presence in Asia traces back to July 1997 when the company opened its first chocolate factory in Singapore. Across Asia, the company now operates five chocolate factories (China, India, Indonesia, Japan, and Singapore), three cocoa factories (two in Indonesia and one in Malaysia) and one combined chocolate and cocoa factory (in Malaysia). 

The company currently has more than 550 employees across Indonesia namely in Gresik, Bandung, Makassar and Lampung. It is also committed to expanding its sustainability activities for cocoa farmers in Indonesia through its Forever Chocolate Programme.

Regarding the expansion of their chocolate supply in Indonesia, Barry Callebaut expects that the deliveries for the additional volumes will begin in mid-2019.