Barry Callebaut enters into joint venture in Indonesia
Barry Callebaut, a manufacturer of cocoa and chocolate products, and PT Comextra Majora, a diversified soft commodities trader and an exporter of cocoa from Indonesia, have entered into a joint venture.
This will form a new company together: PT Barry Callebaut Comextra Indonesia. The new company will be headquartered in Makassar (Sulawesi) in Indonesia, the world’s third largest cocoa producing country. Barry Callebaut will own 60%, and PT Comextra Majora 40%.
As part of the joint venture, a new cocoa processing facility will be built in Makassar, Sulawesi/Indonesia, with an initial grinding capacity of 28,000 tons. Operations will start in early 2013.
The new company, PT Barry Callebaut Comextra Indonesia, is investing CHF30m to build this facility. Barry Callebaut will be responsible for running the factory and will purchase the products manufactured, whereas PT Comextra Majora will use its 20 years of experience in cocoa sourcing to supply the factory with cocoa beans under a long-term supply agreement, the company said. Jimmy Wisan, CEO of PT Comextra Majora, will serve as president commissioner of the new company.
The new joint venture will allow Barry Callebaut to increase its sustainable sourcing activities in Indonesia through PT Comextra’s on-the-ground presence and relationships with local cocoa farmers.
Juergen Steinemann, CEO of Barry Callebaut, said: “After announcing our fourth strategic pillar Sustainable Cocoa a week ago, I am happy to deliver already today a first proof of action that we are diversifying our cocoa sourcing and processing activities. Sustainable Cocoa will ensure a better income for the cocoa farmers and secure sufficient cocoa supplies for our future growth ambitions, scaling up our certified cocoa volumes at the same time. This new joint venture with PT Comextra Majora forms part of this programme.”
