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Danisco expanding plant to meet demand
calendar17-08-2001 | linkNULL | Share This Post:

DANISCO Cultor (M) Sdn Bhd, which produces emulsifiers for the foodindustry, is expanding its plant in the Prai industrial area which has nowreached its maximum production capacity.According to its general manager (South-East Asia, Australia and NewZealand) David Alan Last, the expansion programme is to meet the company'santicipated sales growth in the region.He said that the company enjoyed dynamic and sustainable growth after theeconomic slowdown in 1997 and now had marketing links in 25 countries.“The expansion programme is expected to increase production capacity by25%, in line with the company’s average annual sales growth of about 15%.We want to tap the growing market and the Prai plant has also become aglobal supply point,” Last told a media briefing at the Danisco plant onTuesday.The Prai plant produces palm oil-based emulsifier, an ingredient used infood-making industry. The company was set up on a joint-venture basisbetween Danisco A/S of Denmark and Malaysian palm oil manufacturer PalmcoHoldings Bhd in 1990.However, Danisco secured a 100% equity in 1995 and turned Penang into itsregional centre for the Asia-Pacific region.Danisco A/S is a multi-national company based in Copenhagen. It operatesglobally under three main divisions, viz food ingredients, sweeteners andsugar.According to Last, Danisco has also proposed to set up a flavour sectionin the Prai plant to meet growing demand.“The flavour section will only be set up after our investments in Chinaare in full swing,” he said.Business manager (flavour) Steen Londal said the company's vision was tobe among the world's top five players in the flavour production businesswhich had vast potential.Londal said Asia Pacific had sales potential of nearly RM4.5bil annuallyand Danisco would be a major player via organic growth and acquisitions ofother firms.Danisco employs 15,000 workers in 40 countries. Its net sales for thefiscal year ended April 30 touched 23.5 billion Danish krone.Thursday, August 16, 2001The Star