Manado, N Sulawesi (ANTARA News) - North Sulawesi will have a modern virgin coconut oil (VCO) factory which will be build at an investment value of Rp1.3 billion from provincial budget, an official has said.
"Bid for a contract to build the factory will finish this year and the factory will be operated next year," North Sulawesi Plantation Office head Rene Hosang said here Tuesday.
The proposed factory would use stainless steel machinery in a bid to maintain quality of VCO which was widely known as panacea, he said.
"Operation of the VCO factory will be handed over to a private firm which is required to make contribution to the provincial coffer. The VCO will be produced based on Indonesia`s National Standard (SNI) that it can be exported to many countries," he said.
The proposed VCO factory could be utilized by household business to purify their homemade VCO, Rene said.
North Sulawesi Coconut Farmer Association chairman Marthen Nelwan said the upcoming VCO factory would help improve quality of VCO which was mainly produced as home industry in many North Sulawesi households.