Asia Pacific Rayon keen to keep growth momentum going in Indian market

Asia Pacific Rayon (APR) is a fully integrated viscose rayon producer in Asia, with a capacity of 300,000 tonnes per year. The company's mill is co-located in Pangkalan Kerinci, Pelalawan, Riau, Indonesia, with Asia Pacific Resources International Limited (APRIL) as its supplier. APR is part of the RGE (Royal Golden Eagle) group of resource-based manufacturing companies and guided by RGE 5Cs founding principles that ensure its operations are good for the community, country, climate, customer, and company.

In an exclusive chat, Basrie Kamba, President Director, while elaborating on the products and solutions that APR offers to the global market said: "At APR, we produce high tenacity viscose fibre, which is made from natural wood cellulose. We offer a range of solutions that deliver these benefits in clothing, home fabrics, and hygiene products that people use every day. Viscose rayon has a silky look and the feel of cotton, with properties of comfort, breathability, and absorbency. It's easy to dye and can be woven or knitted to make baby clothing, skirts, shirts, and dresses that are soft on the skin. At home, it's the ideal fabric for high-end bed sheets, towels, tablecloths, napkins, furniture covers, curtains, and drapes."

"Moreover, viscose rayon is a fully biodegradable alternative to other petroleum-based synthetic fabrics. The cellulose pulp used in viscose rayon production comes from sustainably managed plantations of fast-growing acacia and eucalyptus trees, making it a great alternative to cotton," he added.

Global Footprint

The company sells its VSF (viscose staple fibre) product to both Indonesia's domestic market as well as to other key global markets including China, Turkey, India, Bangladesh, Vietnam, and Pakistan. "We have established a strong presence in these markets through our commitment to quality, sustainability, and innovation. Additionally, we continuously invest in research and development to advance our product offerings and cater to the evolving needs of our customers. We work closely with our stakeholders, including local communities and suppliers, to ensure that our operations are not only profitable but also beneficial to the communities and the environment," Basrie Kamba explained.

Manufacturing Muscle

Proceeding to the topic of APR's manufacturing infrastructure globally and its capacities, he stated: "As mentioned earlier, our integrated production line has a total production capacity of 300,000 tons per year, making us the largest integrated producer of VSF in Asia. We are constantly exploring opportunities to expand our capacity and meet the growing demand for sustainable and eco-friendly viscose-rayon. We truly believe that through the creation of a diverse, equal and inclusive culture, companies can become more resilient, productive and innovative."

"Now, we have around 800 employees directly working in our facilities. Our employees are our greatest asset, and we are committed to providing them with a safe and healthy working environment. We prioritize the professional growth and well-being of our employees, and our operations are designed with this in mind", he added.

Advantages Galore

One of the most oft repeated questions to APR's top management is about the fact that while APR is a much younger company compared to its global peers, how has it established a strong presence in a highly competitive global market? What are your key strengths and advantages? Responding to the questions Kamba said: "At APR, we have invested heavily in technology to ensure the circularity of our operations. This has allowed us to operate in the top quartile of viscose manufacturing. One of our key strengths is using fibre sourced from sustainably- managed renewable plantations, through our sister company APRIL. These farmed trees can be harvested within five years, thanks to abundant sunlight and rain in the equatorial climate. We also implement science-based solutions to reduce our product carbon intensity per tonne of viscose staple fibre from our fibre life-cycle by 50% and the continuous utilization of 100% of our mill's energy from renewable and clean energy sources. Our robust chemical recovery processes also help us capture and reuse chemicals and energy used in our viscose manufacturing processes."

"By using adsorption and condensation methods, we can recover more than 90% of chemicals used in the process. Any remaining chemicals are treated with the best available techniques before safe disposal," he further highlighted.

"Lastly, our adoption of a circular or closed-loop system means that we use continuously recycled or sustainably sourced raw materials with minimal waste or emissions generated. This process contributes to a circular economy and results in higher operating efficiencies such as reducing water intake and raw material consumption, and optimizing chemical recovery to limit and restrict the discharge of waste. Through continuous investment in the optimization of production processes, we are able to become "closed loop" in parts of our facility," he summarized. According to Basrie Kamba, APR works closely with spinners who supply its viscose fibre to fabric and garment makers around the world.

"As a key player in the viscose-rayon industry, our products are highly valued by customers who are looking for sustainable and high-quality materials to incorporate into their products. We are proud to collaborate with many well-known brands and businesses in the textile and retail sectors, and we are always exploring new partnerships and opportunities to expand our reach and impact." – Basrie Kamba, President Director, APR

APR 2030 Sustainability Strategy

Elaborating on the company's sustainability focus and philosophy, Kamba commented: "At APR, sustainability is fundamental to everything we do. We are deeply committed to achieving Sustainable Development Goals (SDGs) and making them an integral part of our guiding principles. We believe that what is good for the community, the country, the climate, and the customer is ultimately good for the company. This philosophy drives our approach to sustainability."

"In Nov 2021, we launched our ambitious APR 2030 sustainability strategy, which outlines our priorities and targets for the next decade. Our strategy focuses on four main commitments: becoming climate and nature positive, ensuring clean and closed-loop manufacturing, accelerating circularity, and promoting inclusive prosperity. Becoming climate and nature positive means that we aim to not only reduce our carbon footprint, but also to increase our positive impact on nature by preserving and restoring natural ecosystems. Ensuring clean and closed-loop manufacturing involves minimizing waste and pollution in our manufacturing processes, and creating a circular system where resources are continually reused," he added.

"Accelerating circularity means we aim to increase the amount of recycled content in our products and transition towards a circular economy. Lastly, promoting inclusive prosperity means we will work to enhance the well-being of our employees, customers, and communities in which we operate. These commitments are part of our long-term vision for a sustainable future, and we are continuously seeking innovative ways to improve our sustainability practices," he said.

Buoyant Outlook

The company is buoyant about its future in the Indian market. "The India textile and clothing market is a vital market for APR. We want to participate in the growing India's textile industry. As a start, we have shipped some amounts of our VSF to our India customers. We will work together with the local spinners there to meet their needs as India is aiming for USD 100 billion of textile exports value by 2030. Our plan is to be part of that journey," Kambe shared. APR has a list of well thought out plans for the future. Throwing light on its target for 2030 in terms of global business and growth, Kamba remarked: "In the past four years since our operation, APR has been constantly producing high quality of VSF for the both domestic and overseas market. Our annual production capacity has been increased from 240,000 tons to 300,000 tons. APR is now a leading player in the Indonesian VSF market."

"We have been working closely with our customers and partners in Indonesia and abroad to improve quality and efficiency and meet the growing demand for our products."

"We also have been consistently creating value for our stakeholders and driving innovation in sustainable fibre manufacturing over the past few years. We have been working closely with our customers and partners in Indonesia and abroad to improve quality and efficiency and meet the growing demand for our products. Our targets for the future are to translate our commitments into actions that address pressing needs, such as job creation and continue to play a significant role in supporting the growth of Indonesia's textile and garment industry. Our ambitious APR 2030 sustainability strategy outlines our priorities and targets for the next seven years, and we are confident that it will help us continue on this trajectory towards sustainable growth for business and the environment," he said, concluding the interaction on a positive note.