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Meet APRIL's New Downstream Portfolio in Sustainable Packaging

The Jakarta Globe
May 16, 2024 | 2:17 pm
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APRIL' s mill complex, including pulp, paper and paperboard facilities. (Photo Courtesy of APRIL)
APRIL' s mill complex, including pulp, paper and paperboard facilities. (Photo Courtesy of APRIL)

Jakarta. In a world increasingly moving towards sustainability, consumers are becoming more selective with their choices, especially when it comes to packaging. The surge in demand for sustainable packaging is evident in the data for paperboard projection in Asia, expected to grow by over 3 percent annually until 2030, reflecting this global trend.

Responding to this trend, APRIL, one of the largest global producers of bio-based pulp and paper, has embarked on a significant diversification journey. Earlier this year, the commissioning of its state-of-the-art paperboard manufacturing plant in Riau, Indonesia marked a pivotal move in this direction.

APRIL Group has invested Rp 33.4 trillion into a sustainable paperboard production facility, spearheaded by PT Riau Andalan Paperboard International (RAPI), alongside its supporting infrastructure.

The new paperboard facility continues APRIL Group’s downstream diversification into high value-add products as a source of sustainable business growth, leveraging the company’s advantage as a fully integrated producer of fiber-based consumer products. 

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Positioned adjacent to PaperOne's renowned production facility, which has been marketed in 110 countries, APRIL's investment stands as one of the most significant manufacturing endeavors witnessed in Sumatra over the past decade. With an annual production capacity of 1.2 million tons of recyclable and biodegradable products, the facility will proudly carry the BoardOne™ and SilverPak brands.

Back in 2021 during the Covid-19 pandemic, Coordinating Minister for Economic Affairs Airlangga Hartarto spoke during the ceremony of groundbreaking realization of investment in sustainable packaging products at Pangkalan Kerinci, where APRIL operates.

“We warmly welcome this investment by APRIL Group, which will improve the well-being and prosperity of the local communities while also boosting national economic development. The government will continue to develop strategies to support the recovery of national exports through strengthening market access and helping to improve product competitiveness," he said.

Beyond economic implications, this facility epitomizes Indonesia's transition towards a lower-carbon economy by producing bio-based packaging materials. BoardOne will be providing sustainable packaging solutions that meet quality and health and safety standards across domestic and global markets, while simultaneously creating over 600 new jobs upon reaching full operational capacity.

Moreover, APRIL's commitment to environmental stewardship shines through in its product range. From folding boxboards to cup stock and art board (C2S), these offerings cater to diverse packaging needs while adhering to stringent sustainability standards. These products are manufactured using high-quality fiber sourced from APRIL’s sustainably managed plantations, which are certified under the Programme for the Endorsement of Forest Certification (PEFC) Sustainable Forest Management standards. The facility’s fiber supply will largely come from productivity increases from existing plantations and will comply with APRIL’s sustainability policy.

This new facility seamlessly aligns with the Sustainable Growth commitment in APRIL2030, underscoring the company's holistic approach towards diversification, circularity, and responsible production.

“This product diversification strengthens our commitment to grow our business sustainably, in line with our existing sustainability commitments and our APRIL2030 targets,” Sihol Aritonang, President Director of PT Riau Andalan Pulp and Paper, the operating arm of APRIL Group, said.

The realization of this investment contributes to Indonesia’s economy by aiming for an export-oriented global market and is part of APRIL's commitment, as a member of the Royal Golden Eagle (RGE) group of companies, to drive Indonesia's economic agenda forward.

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