URC’s P10 billion Malvar plant set for commercial run this year

MANILA, Philippines — Food and beverage company Universal Robina Corp. (URC) is investing at least P10 billion for its new production plant in Batangas, with the first commercial run expected this year.

JG Summit president and CEO Lance Gokongwei told The STAR that URC’s Malvar mega plant would cost over P10 billion and should be operational before the end of the year.

URC broke ground on the new production plant in Malvar, Batangas last year.

The plant, which will feature state-of-the-art manufacturing technology, is expected to showcase URC’s cutting-edge manufacturing process and sustainability drive as it will have solar panels for power generation and maximize recovery of rainwater and reuse of wastewater.

Its expansion will continue for 10 to 15 years and once completed, the plant will cover an area of 30.7 hectares and employ some 3,000 workers directly and indirectly.

Last December, URC already bolstered by more than half its production capacity for quality flour with the opening of a new mill in Quezon province.

The company’s P5.4-billion facility in Sariaya raised URC Flour’s capacity to about 3,500 metric tons daily from 2,180 MT per day.

URC is one of the Philippines’ largest food and beverage companies, producing iconic brands such as Great Taste, C2 Cool & Clean, Piattos, Maxx candy and Cream-O cookies.

It also has a significant and growing presence in ASEAN, with leading regional brands such as Lexus, Tivoli and Fun-O.

URC is benefiting from more positive consumer sentiment in the Philippines, especially as inflation eases.

“On a broader front, we’re very focused on reigniting growth in our Philippine branded business. Partially, we have a tailwind because inflation is going down and I think consumer spending is coming back, not only from the election, but because inflation is heading down, consumer confidence is coming back,” Gokongwei said.

“But likewise, we’re also taking some active measures on the marketing and distribution and innovation side to bring back growth to our Philippine business. That’s our number one priority,” he said.