D&L Industries Inc., the country’s top specialty food ingredients and oleochemicals producer, has started commercial operations for its P10.5 billion Batangas plant marked by the issuance of its first invoice on Monday, July 10.
D&L Industries' starts commercial operations of its new plant in First Industrial Township - Special Economic Zone in Batangas
“Today, we celebrate an important milestone. After facing several challenges in the form of a pandemic, strict lockdowns during the construction, and global supply chain bottlenecks, our next generation facility in Batangas has finally started commercial operations,” said D&L President and CEO Alvin Lao.
D&L’s Batangas plant sits on a 26-hectare property in First Industrial Township - Special Economic Zone in Batangas. It has successfully moved into a soft-opening status with several production lines already up and running.
The firm expects the full commercial operations in the next couple of months after the final fine-tuning works on the remaining parts of the plant have been completed.
D&L Industries President and CEO Alvin Lao
“This marks the beginning of an exciting journey as we venture into new global markets and manufacture higher value added products. Our Batangas plant puts us in a good position as global demand returns,” Lao added.
The new plant will enable D&L to move a step closer to its customers by providing customized solutions and simplifying their supply chain, which is of high importance given ongoing global logistical challenges.
It will also be instrumental in D&L’s goal of putting the Philippines on the map as a quality manufacturing hub for sustainable, natural and organic products.
D&L is launching a full range of shelf-ready products for its export customers, made from coconut oil, for the personal and baby care, cosmetics and beauty care, household cleaning, health and nutrition, and food and vegetable oils categories that are sustainable, natural, and organic.
The company is gearing up towards launching a full range of shelf-ready products for its export customers, made from coconut oil, for the personal and baby care, cosmetics and beauty care, household cleaning, health and nutrition, and food and vegetable oils categories that are sustainable, natural, and organic.
This initiative offers a plug-and-play solution for global brand owners who are looking to beef up their sustainable product offerings.
With the new capabilities that the Batangas plant will bring, D&L aims to offer turnkey solutions to customers that are both economically and environmentally friendly.
D&L envisions empowering brands globally to make a meaningful shift towards high impact sustainability initiatives in the manufacturing of their products by giving them the option to buy direct from source.
The direct from source approach simply means converting raw materials into finished goods in the country of raw material origin, instead of going through multi-leg production stages which usually happen across different locations in the globe.
This naturally translates into simpler logistics, less wastage, lower costs, higher efficiency, and as such, significantly cutting down the carbon footprint (C02) of the entire supply chain.
D&L’s Batangas plant expands the manufacturing capabilities of the company’s food, oleochemicals, and consumer products ODM segments.
It operates under wholly-owned subsidiaries Natura Aeropack Corporation (NAC) and D&L Premium Foods Corp (DLPF). This plant allows the vertical integration of sourcing, formulation, packaging, OEM/ODM, and export capabilities, enabling D&L to offer a one stop shop, direct from source manufacturing solutions to global brands.
Being in a Philippine Export Zone Authority (PEZA) location, D&L’s Batangas plant is required to maintain at least 50 percent export revenue contribution to be able to take advantage of PEZA tax incentives. As such, the said facility is focused on developing new markets.
Coconut oil continues to gain traction globally as a sustainable, natural, and organic substitute for many petroleum or palm-oil based applications.