Asia Pacific Rayon Continues Growth and Value-Creation

A little over a year ago, following its inauguration by Indonesia President Joko Widodo, Asia Pacific Rayon (APR) continues to create value for communities, industries and the nation. As Indonesia’s largest integrated viscose rayon producer with a 240,000-tonne annual production capacity, APR has since achieved numerous milestones that not only elevate its position as a producer of biodegradable viscose rayon, but also as a leading national advocate-collaborator in sustainable fashion.

President Joko Widodo walks the premises of the newly inaugurated Asia Pacific Rayon (APR) in early 2020, accompanied by RGE Founder and Chairman Sukanto Tanoto and RGE Director Anderson Tanoto

APR’s official launch in 2020 was part of the nation’s Making Indonesia 4.0 plan, signifying a major push towards decreasing reliance on imported textile raw materials to meet domestic demand. Sourced from renewable and sustainably managed fiber plantations in Indonesia, APR’s viscose rayon is biodegradable, while possessing the comfort and texture comparable to cotton. The company also partners designers and brands to build Indonesia’s profile as a global Muslim fashion hub.

In addition to securing standards and certifications (e.g. OEKO-TEX standard 100, STeP by OEKO-TEX, USDA Certified Biobased Product, ISO certifications), APR also opened the Jakarta Fashion Hub as a collaborative space to unlock the potential of the domestic fashion, textile and creative industries. This is in addition to the many partnerships and collaborations (e.g. Sustainable Apparel Coalition, UNFCCC’s Fashion for Global Climate Action, Sum of the Parts (SOTP)) in which the company is actively involved, as it embeds itself in the sustainable textile and fashion market.

As lives and livelihoods reeled from the disruptions caused by the COVID-19 global pandemic, APR stepped up to support its communities. In addition to providing relief aid to community, it also partnered a mask manufacturer to produce 100 million reusable face masks.

APR announced on 10 April 2021 it secured a syndicated loan facility of Rp 4.5 trillion (US$300 million) with national and international affiliated banks.

With Indonesia’s recovery gaining momentum, the company’s mission of jobs and value creation received a boost when it secured a syndicated loan facility of Rp 4.5 trillion (US$300 million) with national and international affiliated banks. This supports the company’s plans to increase capacity to 600,000 tonnes, and aligns well with the Indonesian Government’s strategy of increasing investment and boosting employment. President Widodo said in March 2021 that investments would be the key factor in the nation achieving 5% economic growth this year.

These developments, in the span of slightly over a year since its inauguration, now position Asia Pacific Rayon as not only a leading producer of viscose rayon, but also a leader in sustainable textile – from plantation to fashion.

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