Cargill expands Malaysia facility to meet growing consumer demands for edible oils
Investment builds on company’s efforts to increase work and offerings in Asia, supporting customers around the world
KUALA LUMPUR, MALAYSIA (26 November 2020) — To address the growing needs of the market and better service food and beverage customers in the region, Cargill is investing $20 million to expand and modernize its palm oil production facility in Port Klang, Malaysia. Improvements at the facility include deploying new production technologies, upgrading equipment and adding new R&D capabilities.
With new production technologies and expanded R&D capabilities, the facility will be able to produce significantly more oils, especially value-added special palm products, while continuing to meet stringent product quality requirements. By upgrading plant operations to world class production standards, customers from various industry segments, including food service, confectionery, bakery and specialized nutrition, will experience reduced turnaround times for high quality products to meet the needs of the growing food market.
The first scope of the project involves moving the production of all lauric oils, mainly the refined coconut oil, to Cargill’s Westport facility. This move opens up capacity at the Port Klang facility to be the hub for palm processing and production of its derivatives. This first phase is expected to be completed by April 2021. The second phase will be upgrading the physical refining plant and palm oil fractionation process at Port Klang to be a state-of-the-art production facility. This is expected to be completed and running by February 2022.
The investments in this facility are a significant step towards becoming the most reliable specialty oil solution provider for customers from key food industry segments. The expansion provides a one-stop-shop solution for palm products and supports customers’ growth by offering world class products and solutions. Cargill plans to explore opportunities to expand its downstream, palm derivatives portfolio in the future.
Commenting on this expansion, Xiuling Guo, managing director, Cargill’s edible oil business in Asia, said, “We are very committed to growing our business in the APAC region. This is a critical step to better serve our customers with sustainable and reliable solutions to address the consumer needs. This investment will go a long way in demonstrating our commitment to Malaysia, that by enabling growth of both Cargill’s presence and edible oil solution business.”
“This investment to expand and modernize our facility in Port Klang enables us to provide high-quality, value-added specialty palm solutions and advanced R&D capabilities for customers in a variety of market segments,” said Gonzalo Petschen, president for Cargill’s global edible oil business. “By strengthening our assets in the region, we are reinforcing our commitment to our employees and the Port Klang community.”
Cargill’s presence in Malaysia
Cargill has been conducting business in Malaysia since 1978. Today, our businesses include vegetable oil refining and production of value-added products, grain and oilseeds distribution, animal nutrition, sales of starches, sweeteners and texturizers as well as sales and marketing of cocoa and chocolate products. Headquartered in Kuala Lumpur, Cargill currently employs about 710 people in 7 locations countrywide.
Cargill’s global edible oil business continues to invest and grow its presence in the country, demonstrating its commitment to consistently delivering high-quality and innovative products for local as well as global customers.
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About Cargill
Cargill helps the world’s food system work for you. We connect farmers with markets, customers with ingredients and families with daily essentials—from the foods they eat to the floors they walk on. Our 160,000-plus team members around the world innovate with purpose, empowering our partners and communities as we work to nourish the world in a safe, responsible, sustainable way.
From feed that reduces methane emissions to waste-based renewable fuels, the possibilities are boundless. But our values remain the same. We put people first. We reach higher. We do the right thing. It’s how we’ve met the needs of the people we call neighbors and the planet we call home for 158 years—and how we’ll do so for generations to come. For more information, visit Cargill.com and our News Center.