Takasago Opens New Manufacturing & Research Facility in India
According to IAL Consultants, a major research group, India will become the fastest growing market in Asia for flavours, growing by 10.2% a year to US$380.6 million in 2014, from US$234.4 million in 2009.
Mar 5 2012 --- Takasago International (Singapore) Pte. Ltd., the regional subsidiary of publicly listed Takasago International Corp, said it will invest US$10 million to set up a new manufacturing and research facility in Chennai, Tamil Nadu.
The latest commitment comes shortly after Takasago invested US$32 million in a new facility in Singapore as part of its regional expansion strategy. The new Indian facility, which will start operations in 1Q 2014, is part of Takasago’s aim of developing key creation, application, sensory, R&D and manufacturing capabilities for new flavours and fragrances customised for this region.
Takasago’s investment in Tamil Nadu comes at a time when the local government has earmarked the Chennai suburb along the arterial Old Mahabalipuram Road for development into an industry leading integrated township. Japan’s Mizuho Corporate Bank, Japanese engineering firm JGC Corp and Singapore industrial real estate developer Ascendas Group recently signed a Memorandum of Understanding with the Government of Tamil Nadu to develop this new township.
Takasago has since become the first Japanese MNC to invest in this eco-friendly township which will integrate industrial, business, commercial and residential infrastructure.
Tamil Nadu is fast emerging as the fourth largest contributor to India’s gross domestic product through its industrial development amid growing interest from global manufacturers.
Among the many companies, Japanese MNCs have shown a keen interest in investing in Tamil Nadu, as seen in a recent visit by Japan’s Minister of Economy, Trade and Industry, Mr Yukio Edano, in January.
Mr Ritaro Igaki, Takasago International Corp President and CEO said: “Takasago has set itself the goal of becoming a world-class flavours and fragrances company in the run-up to its centennial in 2020. We are strengthening Takasago’s organisation and expanding our operations, and this investment commitment is a key example that will help us achieve our ambition.”
Mr Masayuki Mita, Takasago’s Global HQ Senior Vice President, said: “Takasago has stepped up its focus in maintaining our position as a major industry player with a strong presence in the Asian region. The recent commitments are a promise to achieve our expansion plans in Asia.”
According to IAL Consultants, a major research group, India will become the fastest growing market in Asia for flavours, growing by 10.2% a year to US$380.6 million in 2014, from US$234.4 million in 2009. It is the only country expected to grow by a double-digit rate in Asia over this period.
In terms of fragrances, research has shown that the India marketplace will grow 5.8% a year to US$420.8 million in 2014, from US$317.3 million in 2009.
Commenting on the expansion into India, Takasago International (Singapore) Managing Director, Mr Alfredo Asuncion Jr., said: “Takasago’s Singapore operation will play a pivotal role in injecting management and technical expertise in the areas of product innovation, manufacturing and marketing to ensure the Indian operation takes off quickly. This will enable Takasago to become a preferred partner for the industry.” He said that Takasago International will focus on its core business of building its operation in India while collaborating with Ascendas to meet its infrastructure needs. Bringing a strong track record for building quality infrastructure, Ascendas was chosen as partner because of the holistic approach to conceptualising and building the integrated township. This will enable Takasago to attract and retain talent.
Ascendas Group President and CEO Chong Siak Ching said: “The first key milestone in building this world-class township commenced with allying ourselves with major companies like Mizuho and JGC. The next step was to show MNCs like Takasago that we will take them to this township and help them succeed in India.”
Expansion in India
The new manufacturing operation in India, which is located about 50 km south of Chennai, will sit on five acres of land. Construction on the site will begin in 2Q 2013 and operations will start in 1Q 2014. The facility, when fully operational, will become the headquarters for all of Takasago’s research, manufacturing and sales operations in India.
Newly appointed Mr Rajendra P. Ghogale, Managing Director of Takasago International India, said: “Takasago is developing its operations in India with a key focus on sustainability. Takasago will concentrate on several key segments, bring in innovative technology, and offer creative solutions and value to our customers.”
“Takasago’s business philosophy of Technology, Trust and Teamwork inspires us to provide a ‘total business solution’ to our customers and ensure that we uphold the highest standards in quality and safety of our products, people and the environment. This will continue to be our promise to our customers in India,” he said.
Mr Ghogale joins Takasago with a strong track record of working with MNCs and India-based companies in the food and flavour sector.
