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Tunas Baru expanded to sugar business

Senin, 13 Februari 2017 / 13:34 WIB

Tunas Baru expanded to sugar business

JAKARTA. PT Tunas Baru Lampung Tbk (TBLA) has officially penetrated to the business of cane sugar processing in this year. The sugar company, which was established in 2015, has started operating since the end of 2016. This company also has secured the import license of raw sugar as much as 100,000 tons in this year.

The company has two subsidiaries, namely PT Bangun Nusa Indah Lampung and PT Adikarya Gemilang, which control a total of 5,100 hectare of cane fields. According to the Corporate Secretary of PT Tunas Baru Lampung Hardy, the sugar business has a promising prospect.

To date, the company operates a sugar refinery factory with a production capacity of 600 tons per day, as well as a consumption sugar processing factory, which processes about 8,000 tons of canes per day.

Hardy said, to date Tunas Baru Lampung is only involving in the upstream sector by producing sugar cane to be sold to sugar factories. However, the transactions only generate low profit margins.

By operating sugar factories, this company can increase the profit margins. TBLA expects that the sugar business can contribute to 30% of its total income.
To date, Tunas Baru Lampung is targeting to book as much as Rp 7.5 trillion revenues in this year. “Aside of producing the sugar canes, we also have a quota of importing raw sugar at 100,000 tons. This will support our sugar business in this year,” Hardy said.

Hardy explained, Tunas Baru Lampung invests around Rp 1.2 trillion-Rp 1.5 trillion in sugar business. He said that the large amount of investment is equal with the revenues will be obtained by the company in the future.

Hardy added, the sugar business is part of the business diversification of Tunas Baru Lampung. To date, the company has been focusing in the businesses of palm oil plantation and processing.

This company is optimistic that the sugar business may be the new potential revenue source. Let alone, the sugar business tends to be stable and have a certain market segment.
(Muhammad Farid/Translator)

Reporter: Elisabeth Adventa
Editor: Rizki Caturini


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