This supports MG’s stated aim to secure offtake agreements with global nutritional customers to underwrite the planned $260-$300 million nutritional powders investment at Koroit.
KALBE manufactures and distributes premium quality pharmaceuticals, energy drinks and nutritional products for sale in Indonesia and Asia.
It also operates a sophisticated distribution and logistics division which provides the widest distribution coverage for pharmaceutical and nutritional products in Indonesia, covering all 33 Indonesian provinces and reaching approximately one million outlets throughout the country.
The new nutritional supply agreement between KALBE and MG builds on the existing strong supply partnership which has seen MG supply dairy powders for use in KALBE’S range of nutritional products including infant and children nutrition brands. Under the new long-term supply agreement, MG has committed to supply and KALBE has committed to purchase significant minimum annual volumes over time.
Commenting on the new supply agreement, MG Managing Director, Gary Helou, said: “We are delighted to be extending our partnership with KALBE, one of Indonesia’s foremost healthcare companies.”
“MG and KALBE have worked closely together in recent years to meet the nutritional powder supply needs of KALBE’s leading infant and children nutrition brands and in doing so, we have developed a deep understanding of each other’s needs and requirements.”