Sido Muncul ready to export products to regional area this y

IQPlus - Medicinal and Pharmaceutical Industries PT Sido Muncul Tbk (SIDO) which was originally a cottage industry (Home Industry) is slowly evolving into a large company that holds 70 % market share in the Indonesian herbal medicine.

Director of Sido Muncul, Irwan Hidayat said that the business of herbal medicine in the country has a bright and promising prospects. Moreover, Indonesia is famous for his herbal product, especially spices.

"At first we just wanted to take advantage of agricultural products ( spices) in Indonesia into products that can be beneficial. However, if Sido Muncul successfully cultivate these crops into goods that benefit the community, we address this is a gift given by God Almighty," said Irwan, in Semarang, Central Java, yesterday.

Next, Sido Muncul have the desire to export his produce products in the form of herbal medicine to foreign countries this year. The countries that will be targeted this time are Japan, Thailand, and Taiwan. Having previously SidoMuncul party has exported its products to several countries, for example, the Middle East (Middle East), Malaysia, America and Europe.

"We are planning to expand into foreign countries (Asia), especially this year are Japan, Thailand and Taiwan," said Irwan.

Irwan admitted, it was flooded with requests on both products and raw materials from these countries, especially Japan. The request is prompted by the country mostly are Garlic and Turmeric.

"We will export garlic and turmeric to these countries. Due , in Japan the people are always taking turmeric every day. So, turmeric reasonable if demand is high in Japan," said Irwan.

According to Irwan, in developing overseas business to the herbal medicine, Sido Muncul product should became king in his own country or 'blue-chip products'. But in reality, the people who consume the product Sido Muncul only 2% of the total population of Indonesia.

"Indonesian people who use our products is only about 2% of the total population or the head only uses around 3 sachets per year. Thus, we will strengthen Sido Muncul first product in Indonesia just a massive expansion in foreign countries," he said.

Therefore , to support this, SidoMuncul builders will accelerate its plant located in Semarang, Central Java. Investment funds that had been prepared by the Company amounted to Rp365.4 billion.

"We will conduct a groundbreaking for the expansion of the plant material on 18 February. Meanwhile, on March 18, we will begin SidoMuncul mill production. We expect construction to be completed 6 months ahead, and later this year will be ready for production," he concluded.

Irwan further revealed that the construction of the plant was intended to increase the production capacity of products especially Kuku Bima Energi and Tolak Angin, approximately 10% -20% rise. With the addition of this production capacity , the company is targeting sales of approximately Rp2,7-2,8 trillion with net profit expected to reach Rp450 billion in 2014