Home Berita Bisnis Finance Enlarge Recycled Paper Products, Alkindo Naratama Receives IDR 472 M . Green Financing

Enlarge Recycled Paper Products, Alkindo Naratama Receives IDR 472 M . Green Financing

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Anak usaha PT Alkindo Naratama Tbk (ALDO) yang bergerak di usaha pengembangan daur ulang kertas, PT Eco Paper Indonesia (ECO).

PT Alkindo Naratama Tbk (ALDO) through its subsidiary PT Eco Paper Indonesia (ECO) received a financing facility of Rp 472 billion from PT Bank Central Asia Tbk (BBCA). The funds will be used by the company to support the development and production of recycled paper.

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President Director of Alkindo Naratama H Sutanto explained, the green financing cooperation from BCA is a form of business support and investment in the circular economy segment which is the core business of ECO. This funding aims to support the development of ECO's business which is engaged in the production of recycled paper. "This green financing is also a sign of confidence in ALDO's commitment in developing green products and green processes in its business," he explained in an official statement, Friday (24/6/22).

He added that the financing carried out through the signing of agreements and collective agreements at the end of last year is expected to strengthen our efforts to support the circular economy in Indonesia. Meanwhile, BCA and ECO are also exploring the possibility of further cooperation in other green financing. "So we will continue to innovate in developing the Company's sustainable business," he said.

To note, ALDO uses recycled paper produced by ECO to produce various kinds of convertible paper products with an environmentally friendly concept. This initiative makes recycled paper valuable for use in various products. "Brown paper such as kraft liner, eco board, and core board are the main products from ECO which are the raw materials for the conversion paper industry," he said.

ECO as a recycled paper producer has successfully obtained the Forest Stewardship Council (FSC) certificate and the Timber Legality Verification System (SVLK). FSC certification is a certification that certifies that the products used come from forests with good management and provide environmental, social and economic benefits. Therefore, this is also in line with the collaboration between BCA and ECO for sustainable business through green financing.

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“This green financing support is certainly an opportunity for us to continue to innovate and develop ALDO's business, especially for circular economic growth in the country. The existence of paper bags and paper boxes is our effort to encourage the use of environmentally friendly products," said Sutanto.

Recently, ALDO also launched an environmentally friendly brown paper packaging product, namely Hexa Wrap. This sustainable product innovation of Hexa Wrap is a substitute for plastic bubbles (bubble wrap) which is the first in Indonesia made of brown paper ( recycled paper ) in the form of a honeycomb structure. The goal is to reduce plastic waste in the e-commerce industry.

Meanwhile, until the first quarter of 2022, ALDO achieved an increase in net profit attributable to owners of the parent entity by 70.8% on an annual basis. In the first quarter of 2022, ALDO also recorded revenue of Rp 407.3 billion, an increase of 19.6%. This is driven by ALDO's continuous innovations.

“Going forward, we hope to continue to improve our performance, which is supported by ALDO's various sustainable business strategies. And, accompanied by support and cooperation with various parties, such as this green financing from BCA, we are optimistic that we can continue to be committed to ESG and provide the best performance," concluded Sutanto. 

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