Cahaya Sakti to increase production

Cahaya Sakti to increase production

JAKARTA (JP): PT Cahaya Sakti Furintraco, which claims to
control 60 percent of the panel furniture market in Indonesia
with its Olympic brand, plans to expand its manufacturing
capacity by up to threefold.

The company's president, Au Bintoro, told journalists on
Saturday that his company's 15-hectare production facilities in
Bogor, south of here, could no longer accommodate the growing
demand.

He said his company could supply only 80 percent of all
domestic demand addressed to it and only 30 percent of all
foreign demand.

Bintoro did not specify his company's production capacity but
said that his company produces over 1,000 models of furniture,
from kitchen cabinets to bedroom accessories.

"We cannot detail our production capacity with the number of
furniture but I can give you our annual sales," Bintoro said.

Last year, the company's sales reached Rp 100 billion (US$45
million), 20 percent of it being from exports, while its net
profit was recorded at Rp 11 billion.

Bintoro said the new expanded production facilities will
occupy some 70 hectares of land. However, he decline to disclose
the amount of investment needed for the expansion.

To finance its expansion program, Bintoro said, the company
plans to float shares on the Jakarta Stock Exchange next year.
(rid)