PT Ajinomoto Indonesia, a subsidiary of Ajinomoto Company, plans to invest IDR360bn ($20m) to increase the production capacity of its flavour seasoning Masako at its Karawang manufacturing facility in West Java.
The company's decision to expand the capacity of Masako at Karawang emerges after growing demand for flavour seasonings in the fourth largest populated country of the world.
The population of Indonesia, as reported in the IMF World Economic Outlook Database 2015, reached up to nearly 250 million in 2014 and is expected reach 270 million by 2020.
As estimated by Ajinomoto for the fiscal year (FY) 2014, the Indonesian market demanded 104,000t of flavour seasonings. Over the last few years, demand for flavour seasonings has been increasing by double digits in the Southeast Asian country.
Since its market launch in 1989, Masako has been used as a general seasoning that provides a chicken or beef flavour in homemade dishes.
Sales of Masako seasoning have experienced a consistent increase of approximately 12% annually since the fiscal year 2011.
In addition to Karawang factory in West Java, the company also produces Masako at Mojokerto factory in East Java. After completion of the project, the two factories will be able to increase their total Masako production by 30%.
