‘Kaizen’ in action: Indonesian nuts producer expands into jams and milk

Gunanusa Eramandiri, the Indonesian food company known for its Almonesia brand, is diversifying beyond its core nut offerings.
Gunanusa Eramandiri, the Indonesian food company known for its Almonesia brand, is diversifying beyond its core nut offerings. (Getty Images)

Gunanusa Eramandiri, the Indonesian food company known for its Almonesia brand, is diversifying beyond its core nut offerings with the introduction of new products, including fruit jams and nut-based milk.

This strategic expansion aligns with the company’s commitment to kaizen, the Japanese philosophy of continuous improvement, as it seeks to meet the growing demand for versatile, natural products across the Asia Pacific region.

This involves flexibility and ongoing improvements in production and product offerings.

Gunanusa will keep production based in Indonesia, leveraging the country’s cost efficiencies.

Almonesia collaborates with a wide range of food manufacturers from globally, serving brands like Unilever, Krispy Kreme, Yili, KFC, and Dunkin’ Donuts.

The company was founded in 1993 and has established itself as one of the leading producers of nuts and almonds in the region.

Its recent listing on the Indonesian Stock Exchange (IDX) in July 2024 highlights investor confidence in its expansion strategies and competitive positioning.

Gunanusa aims to launch its new jam and nut-based product lines under the John Farmer brand by early 2025, according to Prajna Surya Simtan, the company’s international sales export and import manager.

“Our management has a vision to expand beyond nuts, and we believe that natural products like jams are in demand for a variety of uses, and with our experience in almonds, expanding into jams and peanut paste was a natural step,” Simtan explained.

Simtan was speaking to FoodNavigator-Asia at Fi Asia Indonesia, held from 4–6 September 2024 at the Jakarta International Expo.

Diversification to meet changing consumer demands

The decision to expand their product line was partly driven by customer requests.

Demand for fruit jams are on the rise mainly due to the dominance of snacking trends and the lean towards natural food products.

“Our customers have been asking for products like jams, peanut paste, and nut-based milk. So it made sense to leverage our manufacturing capabilities to meet that demand,” said Simtan.

The company plans to start with popular flavours like strawberry and blueberry, with an anticipated launch by early next year.

Another recent product, instant almond milk powder, was launched last year. It reflects growing interest in plant-based and easy-to-prepare products in Asia.

This almond milk powder can be dissolved in warm water for baking or as a beverage, providing a versatile option for both foodservice clients and retail buyers.

“Our almond milk powder is convenient, and it appeals to brands wanting healthier and premium ingredients in their offerings,” said Simtan.

Cost-efficient production

Indonesia’s climate isn’t conducive to almond cultivation, so the company imports almonds from the US, processes them locally, and exports to key markets in Asia, including Malaysia, Thailand, Vietnam, and Singapore. They export to Europe too.

This approach allows Gunanusa to benefit from Indonesia’s lower labor and operational costs, resulting in a cost-effective supply chain and competitive pricing.

“We produce everything here because it’s cheaper, which gives us an edge in offering lower prices and faster shipping times compared to US almond exporters,” said Simtan.

This strategy supports both existing markets and upcoming product launches by keeping production costs low.

Flexible customisation and scaling

In addition to cost savings, Gunanusa’s ability to meet small minimum order quantities and customise products is a major advantage in the highly competitive nut industry.

Unlike larger US suppliers that often require bulk orders, the company can fulfil smaller, customised orders, which appeals to Asian food brands focused on specific product sizes or grades, said Simtan.

Regional free trade agreements provide additional cost benefits. Clients in countries like Thailand and the Philippines can import Gunanusa’s products duty-free, which increases its competitive advantage.

“Because we’re based in Asia, brands and manufacturers can import from us without the additional import duty they would face with imports from other countries.”

“We also share the same cultural understanding as other Asian countries, which adds to our flexibility,” said Simtan.

To address diverse customer needs, the company has introduced a grading system for its products, offering different options at various price points.

“We grade our products to meet different customer needs. Some clients are focused on price and often question why their competitors can secure goods at a lower cost. By introducing product grades, we can offer options that address these concerns – higher quality will come at a premium.

“We’re positioning ourselves to meet diverse demands while keeping production scalable and efficient. Our focus on customisation, quality, and expansion beyond almonds into jams and nut-based products gives us a strong platform for growth,” said Simtan.