PT Indonesia Fibreboard Industry Tbk (IFII) plans to expand its medium density board (MDF) factory and its supporting infrastructure with an investment of around Rp650 billion.

The expansion of the MDF factory is located in South Sumatra. Currently, the company has an MDF production facility in Mendis Jaya Village, Musi Banyu Asin, South Sumatra, covering  ​​50 hectares.

The current MDF production facility has an installed capacity of about 250,000 square meters per year, with standard production using rubberwood and E2 glue.

Meanwhile, the company's real achievement of MDF production for the last three years (2018-2020), the average MDF production utilization is around 89% - 94% per year or is considered high enough from installed capacity by taking into account the optimal capacity based on the company's MDF product coefficient.

Along with the increasing demand for MDF production for the domestic market and export markets su