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A Japanese company plans a hydroponic vegetable farm in Indonesia

Main constructor Obayashi in partnership with the Singaporean investment company Gallant Venture, it would construct a hydroponic vegetable factory in northern Indonesia, growing cherry tomatoes and leafy vegetables resembling kale.

The vegetables grown on Bintan Island might be sold in Indonesia and Singapore from January 2021 as a part of a roughly three-year trial period to check consumption trends and retail channels in Southeast Asia, the Japanese contractor said. The partners plan to later turn the project right into a full-fledged business.

Photo of a vegetable plant planned for northern Indonesia. Photo: Nikkei Asian Review

Obayashi and subsidiary Gallant aim to finish the roughly 10,000-square-meter vegetable factory by October. They see strong demand for sweet tomatoes in Indonesia and Singapore, where the recognition of a healthy weight-reduction plan is growing.

The project is the primary overseas agricultural operation for Obayashi, which operates a cherry tomato plant in Chiba Prefecture near Tokyo. The company declined to say the expected harvest size because “the climate is different from Japan,” a spokesman said.

Obayashi, nonetheless, said he hopes to realize higher production efficiencies than in Japan by utilizing his know-how in areas resembling temperature control of domestically grown crops.

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