Indonesian producer for fiber, pulp and paper, Asia Pacific Resources International (April Group), announced on April 21 2016, that it has signed Memorandi of Understanding (MOUs) with two European companies, Paper Union and Roxcel Group, worth US$ 5million. The MOUs were signed in Berlin and London respectively and are part of a number of such agreements between several Indonesian companies and European enterprises made during Indonesian president Joko “Jokowi”Widodo’s trip to Europe from April 18 to 22 this year.
Paper Union is a German manufacturer and distributor of paper and printing products. According to April Group, the MOU signed with Paper Union’s Managing Director Thomas Schimanowski at Adlon Kempinsky Hotel in Berlin is worth US$ 35 million. Roxcel Group offers raw material solutions for the printing and packaging industry and has it’s headquarter in Vienna. Indonesia’s April Group stated that their agreement with Roxcel Group has an estimated business value of US$ 15 million. April Group’s Managing Director Tony Wenas informed further that the European companies made commitments to gradually increase their demand during the following years.
Data from Indonesia’s ministry of industry show that the pulp and paper industry of the country holds the capacity to produce up to 7,93 million tons of pulp and 12,98 million tons of paper per year. Nevertheless, Indonesia’s actual annual production lies at about 6,4 million tons of pulp and 10,4 million tons of paper. The country contains the 9th biggest pulp industry and the 6th biggest paper sector in the world and is Asia’s third biggest provider of both, pulp and paper.