United Plantations Bhd en Oleon nv wish to announce that they have agreed to form a 50:50 joint venture through the company UniOleon Sdn. Bhd.
UniOleon Sdn. Bhd. will build in Pulau Indah (Malaysia) a complete food emulsifier plant at an estimated cost of USD32 million.
The state-of-the-art factory is expected to start producing food oleo-derivatives early 2014. The application and use of these products within the food segment will range from the (industrial) bakery, the dairy to the confectionary industries, a strong growing market in Asia. A dedicated applications lab will be created in order to enhance the development of food emulsifiers. The highest quality standards will be combined with the guarantee of traceable, fully segregated sustainable raw materials.
Dato’ Carl Bek-Nielsen, Executive Director of United Plantations Bhd.: “In this project, Oleon has partnered with United Plantations, the driving force in Malaysia on sustainable palm oil. Our plantations all meet the criteria of the RSPO (Roundtable on Sustainable Palm Oil). This joint venture will allow us to go downstream into oleochemical production, a positive value addition to the current operations, and will give us the opportunity to access new markets.”
Chris Depreeuw, CEO of Oleon NV: “Through this investment Oleon will strengthen its position in the food industry in Asia and this partnership will also allow us to reinforce our ability to respond to the growing demand of our clients for certified and traceable products”.
The investment is planned in 2 phases. Phase 2 is expected to be completed by end 2015.