January 4, 2022

Yili Group, the Chinese dairy produce manufacturer, has strengthened its presence in Southeast Asian markets with the opening of its first self-built factory in the region.

An opening ceremony was held in December to celebrate the official launch of the first phase of the Yili Indonesia Dairy Production Base in West Java of Indonesia.

It is set to become the country’s largest ice cream factory with a daily production capacity of four million products upon completion of its second phase.

The project aims to speed up dairy manufacturing and innovation, using cutting-edge technology, green operations and local community collaboration to better serve Indonesian consumers.

The construction of the state-of-the-art facility comes amid the rising popularity of its Joyday ice cream, a brand that has rapidly expanded its reach to 260 local cities in 26 provinces. Since entering the market in 2018, the brand now covers nearly all of Indonesia.

Yili Group chairman and president Pan Gang said the company’s longterm investment and development in Indonesia has been reinforced by local consumers’ preference for its products.

He added: “Yili is always dedicated to following the highest standards to drive quality, sustainable development over the long term and establishing localised operations that benefit the communities where we operate.

“This ensures that we can better serve local consumers and make deep contributions to socio-economic development throughout the region.”

The hub aims to accelerate Joyday’s product manufacturing, R&D and marketing efforts in order to bring more unique services and consumer experiences to local customers.

The site will be open to the publicwhenever the factory is in full operation.

Yili Group: A green and innovative factory

The Yili Indonesia Dairy smart factory was built using the Internet of Things and big data analytics while robotics will be used to provide automated packing, palletising, and warehousing.

As part of its efforts to build a sustainable and environmentally friendly facility, the firm has built a wastewater treatment system with a daily treatment capacity of 2,800 tonnes.

Reclaimed water is then used for the irrigation of plants in the factory.

To ensure high levels of visibility and transparency, the site will be open to the public whenever the factory is in full operation, and consumers can watch the whole production process as it unfolds.

Working locally

While deepening its presence in global markets, Yili follows the principle of “global mindsets and local operations,” with a focus on building highly localised factories that benefit local communities.

Yili Indonesia Dairy currently has 383 employees, with local workers accounting for 95% of the workforce.

The project is expected to create more than 5,000 new jobs for local communities, directly and indirectly.

Yili Indonesia Dairy is also actively pursuing further opportunities for cooperation with local partners.

So far, the company has already established cooperative relationships with more than 90 suppliers in Indonesia.

Its partnerships will also expand to local distributors with 200,000 sales outlets.

Southeast Asia dual centres

The launch of Yili Indonesia Dairy will mark another key pillar for the company’s development in the Indonesian and the broader Southeast Asian markets.

Together with the company’s Thailand-based ice cream production base, Yili’s Southeast Asian dual centres and Southeast Asia Innovation Centre have taken shape.

It will also work together closely with Yili’s innovation centres spread across China, Japan, Europe and Oceania.

In the pursuit of building a global health ecosystem, Yili Group has been dedicated to reaching markets where consumers’ demands for quality dairy products have yet to be fulfilled.

Yili Indonesia Dairy will coordinate and share resources with other subsidiaries of Yili Group to serve consumers with world-class products and share its business success with partners.

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