SMB to build sugar mill

JAKARTA (JP): PT Sumber Madu Bukari will open a sugarcane plantation and a sugar mill in Southeast Sulawesi with an estimated investment of Rp 40 billion (US$16.8 million) next year.

Soewondo, the head of Southeast Sulawesi's plantation office, said in Kendari Tuesday the sugarcane plantation would be opened on a 20,000-hectare site.

He said that the Sumber Madu would also build a sugar mill with a processing capacity of 10,000 tons of sugarcane a day to support the plantation project.

"The opening of the sugarcane processing industry in Southeast Sulawesi is very important to meet the province's increasing sugar demand," he said.

Soewondo said Sumber Madu would cooperate with local Hasanuddin University in providing seedlings for the sugarcane plantation.

Sumber Madu currently manages 5,500 hectares of sugarcane plantations in Buton, Kolaka and Kendari, he said. (04)