L’Oréal Factory in Indonesia to Tap Asian Beauty Market

Leading beauty company L’Oréal has announced the opening of its largest factory in the world. The 66,000 m2 building is located at the Jababeka Industrial Estate, West Java, Indonesia, around 60 kilometers east of Jakarta.

With a staged investment totalling EUR 100 million (approximately IDR 1.25 trillion), this new factory will serve as the production hub for the South-East Asian region.

“As we have been successfully operating a factory In Indonesia since 1986, the country is therefore the clear choice for L’Oréal’s ASEAN production hub,” said Jean-Philippe Blanpain, L’Oréal’s executive VP of Operations.

In line with the Group’s ambition to reach one billion new consumers in the next ten years, the factory will respond to increased market demand in Indonesia and ASEAN, which represents new frontiers of growth for L’Oréal, says the company.

Making a total of 43 L’Oréal factories worldwide, the new Jababeka plant will manufacture hair and skin care products for the mass market brands, L’Oréal Paris and Garnier. The company says 30% of the production will cater to the domestic market while 70% will be distributed to all other countries in the South-East Asian region.

In 2013, the plant will produce 200 million units and has an installed capacity of 300 million units with the potential to reach up to 500 million units per year.

The plant features facilities including high-speed production lines, processing tanks with automatic recipes management, a lighting system based on movement detection and an advanced technology water treatment plant which is currently under development.