Thursday 13 October 2011

Fraser & Neave new RM42m PET production line in Shah Alam


F&N to boost M’sian ops amid Thai floods
Posted on 12 October 2011 - 10:14pm

SHAH ALAM (Oct 12, 2011): Fraser and Neave Holdings Bhd (F&N) will boost its operations in Malaysia to ensure an uninterrupted supply of dairy products amid Thailand's worst flooding in decades, its chief executive officer Datuk Ng Jui Sia said.

F&N's facility in Rojana Industrial Park, Ayutthaya, under its unit F&N Dairies (Thailand) Ltd, has ceased operations due to the massive floods following unusually heavy moonson rains.

"We are looking at a back-up plan including utilising Petaling Jaya's capacity to back it up and accelerate the construction of our new dairy plant in Pulau Indah," he told reporters at the inauguration of its RM42 million three-in-one monoblock production plant here today.

Some 300 of the 2,150 factories in the ancient capital Ayutthya are affected by the floods, causing many to stop work temporarily.

Earlier, Ng said the new production line at its soft drinks manufacturing facility in Shah Alam will cater to Malaysia's growing demand for beverages in polyethylene terephthalate (PET) bottles.

The RM42 million investment in the line encompasses machinery, equipment and training.

He said the high-tech line will boost F&N's carbonated soft drinks (CSD) PET output by 30% from 72,000 bottles per day or 139.2 million bottles a year, making it one of the fastest production lines in the Asia-Pacific.

"We recognise the potential of the ready-to-drink beverage market which is growing at close to 8%, and CSD accounts for 28% of that market," he said.

The investment has also significantly enhanced the green capacity of the plant, which has been running at full capacity since August last year, Ng said.

He said the line uses 15% less water, with water consumption dropping by about 12,500 cu m per year, and about 8% less electricity than conventional lines, while energy consumption is lower by 5%.

"We have cut down our overall carbon footprint by over 15%. This is the right direction as we not only want to grow our market but are cognisant of the need to expand in a manner that is responsible and protective of the environment," he said. — Bernama

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