APRIL Group with an investment over Rp100 trillion (US$6.4 billion) has played a pivotal role in transforming Pangkalan Kerinci from a small village in Pelalawan regency, Riau, into a thriving industrial complex.
This investment has spurred significant economic growth in the region, as outlined in a media statement released on Saturday, August 17, 2024.
APRIL Group’s investment in Pangkalan Kerinci, which includes the construction of various production units such as pulp and paper mills, viscose-rayon plants, and packaging paper mills, has had a profound impact on the local economy and community.
First, APRIL Group, which operates in the manufacturing and industrial forest plantation (HTI) sector, has become one of the largest employers in Riau province. As of December 2023, APRIL employed 13,312 workers across its facilities and business units, a 54 percent increase from 2019 due to the company’s operational expansion to supply rayon fiber materials and packaging paper.
Additionally, APRIL indirectly employs around 26,128 workers involved in managing facilities around its operational areas, including staff from supplier partners and contractor employees.
Second, APRIL Group has not only contributed to job creation, but also focused on empowering the local community to achieve economic independence.
Through its Community Development program, APRIL supports 218 micro, small, and medium enterprises (MSMEs) directly linked to its operations, creating over 5,000 jobs.
APRIL also nurtures 87 MSMEs in crafts, fashion, culinary, and other service sectors to contribute to the local economy without directly working for the company.
In agribusiness, APRIL provides training in sustainable farming practices to local farmers, offering production tools, seeds, and fertilizers to boost productivity.
The company also assists with sales and promotion, resulting in an 83 percent increase in household income for participating farmers in 2023.
A survey conducted by LPEM UI highlighted that APRIL’s corporate social responsibility (CSR) programs have increased household incomes by Rp210 billion across five districts in Riau: Pelalawan, Kuantan Singingi, Siak, Kampar, and Kepulauan Meranti.
Third, APRIL Group has been involved the development of education in the region. By 2023, the company had trained 1,034 teachers and local facilitators as part of its school development program.
APRIL also supports underprivileged students with academic scholarships, providing opportunities for 250 high school students and 99 university students.
Collaborating with four vocational schools in Riau, APRIL offers the Teaching Factory (TeFa) program, which accelerates job access for local vocational school graduates. All students enrolled in 2023 were employed in APRIL’s operations.
Fourth, APRIL Group contributes to economic growth in Riau. In early 2024, the company commenced trial operations at its new packaging paper mill, PT Riau Andalan Paperboard International (RAPI).
With an investment value of Rp33.4 trillion, this facility is projected to produce 1.2 million tons of sustainable packaging paper annually, making it one of the largest manufacturing investments on Sumatra Island in the last decade.
The full operational capacity of this mill is expected to create over 600 new jobs. This investment is anticipated to continue contributing to Indonesia’s development, particularly in Riau.
