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APP Aims to Boost Sales, Expand Business to Central Asia

JAKARTA (From The Globe) -- Asia Pulp and Paper, the pulp and paper company of conglomerate Sinar Mas Group, aims to boost its sales this year, banking on its expansion in Central Asia and rapid growth in new growing markets, the company said in a statement on Tuesday (18/01).

The company, known as APP, targets to boost sales this year by 20 percent to 30 percent in Southeast Asia, Africa and Middle Eastern markets, all of which have contributed a significant share to the company's total sales throughout last year. In doing so, the company hopes to double its overall sales globally.

APP's coated paper, often used for magazines or art work, controls a 40 percent market share in India, while its uncoated paper has a 60 percent market share in Saudi Arabia.

Tan Ui Sian, APP's global communications director, said an increase of sales in Southeast Asia and Africa was due to an improvement in distribution, while Middle Eastern consumers preferred Indonesian paper for its "superior quality compared to other products in the market."

The company is also planning to expand its business in countries in Central Asia, such as Kyrgyzstan, Tajikistan, Turkmenistan and Uzbekistan.

"APP is preparing a comprehensive plan to increase sales both in our existing and prospective market. The strategy includes improving distribution channels and brand promotion," Tan said in the statement.

The company controlls two publicly-listed companies, consisting of the core paper producer Pabrik Kertas Tjiwi Kimia and Indah Kiat Pulp & Paper, which main business is focused on pulp production.

The publicly-listed Pabrik Kertas Tjiwi Kimia, produces paper for writing and printing purposes, with its products ranging from coated, photocopy and carbonless papers. The company also produces a wide range of products including stationery, books and envelopes.

Meanwhile, Indah Kiat Pulp & Paper also produces paper which is mainly used for industrial purposes, such as container boards, paper for food packaging and specialty colored papers.

APP recently held its annual award event dubbed "APP Gold Partner" on Friday (13/01) in Bangkok, and awarded trophies to its regional staff who helped boost the company sales.

With 14 big factories across Indonesia, China and Canada, APP boasts that it has a total capacity of 18 million tons per year. The company also exports its products to more than 120 countries.

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