APP Group is taking a major step forward with a new production facility in West Java, Indonesia, set to enhance its capacity for sustainable paper and packaging solutions. This greenfield pulp and paper mill will produce a range of products, including Foopak paperboard, one of APP Group’s leading brands known for its eco-friendly and responsibly made packaging. The expansion marks a significant milestone in APP Group’s commitment to meeting global demand and advancing innovation in sustainable manufacturing.
Foopak to Open New West Java Mill in 2026
APP Group is preparing to open a new production facility in Karawang, West Java, about 70 kilometers from Jakarta. With access to toll roads, high-speed rail, airports, and Jakarta Port, the site supports efficient distribution. The new Indah Kiat Karawang (IKK) mill is expected to be fully operational by the end of 2025 and begin supporting Foopak’s operations in 2026.
The facility will serve the food and beverage packaging segment, providing tailored Foopak consumer board packaging solutions, alongside machines supporting other business divisions. Built with advanced technology and modern infrastructure, it aims to strengthen APP Group’s global supply chain and sustainability performance.
Currently, Foopak is produced at Indah Kiat Serang (IKS) with a capacity of 600,000 MT per year. Once operational, IKK mill will double this to 1.2 million MT per year, reinforcing APP Group’s position as a leading global producer of sustainable consumer board packaging.
IKK Mill represents APP Group’s latest investment in vertical integration, combining pulp production, paper manufacturing, and converting operations in one modern facility. It will greatly expand overall production capacity to support APP Group’s growing portfolio of sustainable paper products, including Foopak paperboard, for markets in Europe, US, Latin America, and Asia.
Key highlights include:
- Two new state-of-the-art sustainable paperboard machines with annual production capacity of up to 1.2 million metric tons of industrial white and brown paper and board.
- A modern, high efficiency BCTMP pulp line leveraging APP Group’s sustainable wood plantations to provide lightweight, high-strength renewable fibers.
- Modern converting facilities such as a a PE coating plant, corrugated box plant, and fully automated finishing lines, ensuring seamless integration from pulp to finished goods.
- Consumer board conversion capacity reaching 1.6 million metric tons, led by Foopak. The new mill will be the main manufacturing base for Foopak Bio Natura, a biodegradable, recyclable, and sustainable paperboard supporting global efforts to reduce plastic use.
- Advanced Process Control (APC) system to optimize production and consistency.
- A fully automated warehouse and container/truck loading system to improve logistics and minimize handling impact.
- Dedicated R&D Center focused on advanced fiber-based materials and barrier technologies for next-generation sustainable packaging.
This expansion reflects APP Group’s commitment to innovation, efficiency, and customer satisfaction.
Foopak Gears Up for 2026 with Expanded Production
IKK mill also incorporates strong sustainability and cleaner-energy systems:
- Boilers powered by internal and external biomass sources to reduce coal usage.
- Operations supported by green-certified electricity from PLN and solar power to minimize CO₂ emissions.
- A lagoon ecosystem that aids flood control, ecosystem preservation, and water reuse.
- An advanced water treatment system managing large-scale freshwater supply and wastewater processing.
As part of APP Group’s sustainable product portfolio, Foopak will benefit from the mill’s advanced capabilities, strengthening its role as a leading supplier of eco-friendly, high-performance consumer board solutions for global food and beverage brands seeking responsible alternatives.
Foopak welcomes partnerships with brands, converters, and innovators who share the same vision for a more sustainable future. Reach out to Foopak and join the movement toward safer, better packaging.
