Yili Expands Global Presence with Launch of New Dairy Production Base in Indonesia

Yili's First Self-built Plant in Southeast Asia Officially Launches Operation

New Plant Reflects Yili's Continued Success in Accelerating its Internationalization

BEKASI CITY,Indonesia,Dec. 10,2021 -- Yili Group,Asia's largest dairy company,announced the inaugural phase of the Yili Indonesia Dairy Production Base (hereinafter referred to as "Yili Indonesia Dairy") was officially put into operation. This marks another important milestone in Yili's successful process of internationalization.

Yili Expands Global Presence with Launch of New Dairy Production Base in Indonesia

Located in the Greenland International Industrial Center,Bekasi,West Java in Indonesia,Yili Indonesia Dairy covers an area of 17 hectares. With an investment of RMB 867 million,the first phase of the project has a daily production capacity of 159 tons. Yili expects to expand capacity to 343 tons per day,once the second phase is complete. Yili Indonesia Dairy will not only focus on the local Indonesian market but the wider region as well. As one of Yili Group's "dual centers" in Southeast Asia (the other center is the company's Thailand-based ice cream production base),it will expand into the Southeast Asian market,providing regional consumers with a more diverse range of products.

Strengthening Local Economies in Southeast Asia

With the aim of making positive contributions to local industry development and economic prosperity,the state-of-the-art plant is an innovative,low-carbon and environmentally sustainable,and highly advanced production facility,adopting cutting-edge technology and equipment and integrating advanced digital technologies throughout its entire production chain.

Yili is also pursuing opportunities for local sourcing. To date,Yili has established cooperative relationships with more than 90 high-quality local suppliers in Indonesia. Moving forward,Yili Indonesia Dairy will cooperate with local distributors and establish cooperative relationships with more than 200,000 sales outlets in Indonesia and promote its products to a broader international market through Yili's global marketing channels.

Global Mindsets and Local Operations

While deepening its presence in international markets,Yili is focused on building highly localized factories that bring value to local communities. Today,Yili Indonesia Dairy has a total of 383 employees,with local employees accounting for more than 95% of the workforce. After the first and second phases of the project are completed,this is expected to create more than 5,000 new jobs for local communities,directly and indirectly.

In its business operations,Yili Indonesia Dairy always strictly abides by Indonesian laws and regulations,respects local customs and culture,creates new jobs,and provides a positive and caring working environment for its employees. It also regularly organizes a diverse range of training and learning activities to help employees further improve their skillsets and broaden their career horizons.

In recent years,Yili has accelerated its expansion into the Southeast Asian market. In October 2018,the company officially launched the Joyday ice cream brand in Indonesia. In September 2019,Yili held a product launch in Singapore to roll out its high-end yogurt brand AMBPOMIAL Greek yogurt in Southeast Asia. In 2020 and 2021,Yili won the "FDA Quality Award" issued by the Thai FDA for two consecutive years. To help provide consumers throughout the region with even higher quality services,Yili made the strategic decision to establish a production facility in Indonesia.

Moving forward,guided by the philosophy of "mutual development",Yili is dedicated to continuing pursuing new opportunities for strategic cooperation,deepening its existing collaborations,and sharing its business success with all sectors of Southeast Asia,with the aim of further contributing to the region's socio-economic development and growing prosperity.