Food ingredients and plastics manufacturer D&L Industries has moved to May next year the start of the commercial run of its Batangas plant, as it ramps up exports of coconut-based products amid the pandemic.
“While the pandemic is still ongoing, D&L believes that the Batangas expansion is coming at an opportune time given the strong demand for high value coconut-based products in the export market,” company president and chief executive officer Alvin Lao said in a statement Thursday.
Lao earlier said they expected continued strong coconut oil exports due to its perceived natural antiviral and antibacterial properties.
The Board of the Philippine Economic Zone Authority (PEZA) last July 23 granted an extension of the start of commercial operations (SCO) of the Batangas plant to D&L Premium Foods Corp. (DLPF).
DLPF, a wholly-owned subsidiary of D&L Industries which will manufacture various food ingredients to cater to the company’s growing export business, was originally slated for commercial operations by October 2021.
However, in consideration of the challenges and delays encountered due to the recent spike in coronavirus disease 2019 (Covid-19) cases and subsequent reimposition of enhanced community quarantine (ECQ) and modified enhanced community quarantine (MECQ), as well as shipping delays for equipment and machineries for the plant, PEZA has granted an SCO extension to January 2023.
Natura Aeropack Corporation (NAC), another wholly-owned subsidiary of D&L Industries which will manufacture coconut oleochemicals for various consumer care products, will now be the first plant to operate within D&L’s Batangas facility in May 2022 as originally planned.
“While the Covid-19 pandemic and various mobility restrictions have caused challenges in the completion of our Batangas plant, we remain committed to this project. We see ever-growing opportunities in relevant industries in the new normal that we can tap into with this new plant,” Lao said.
The company said that once completed, the new plant will be instrumental to its future growth in line with plans to develop more high value-added coconut-based products and penetrate new international markets.
Source: Philippines News Agency