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01-08-2010

CSM: New Lactide Plant in Thailand

CSM, Amsterdam, Netherlands, announces that its subsidiary Purac will start with the construction of a lactide plant in Thailand to produce components for bioplastics. This investment is driven by CSM’s commitment to play a leading role in the development of the market for lactic acid based bioplastics (PLA). This market is highly attractive as PLA contributes, with commercially viable products, to a significantly lower carbon dioxide (CO2) footprint than the traditional oil based plastics. The investment for this new plant will be EUR 45 million. The new plant will be ready for start up in the second half of 2011 to meet our current level of demand and to accelerate market development. It will be located at the existing Purac site in Thailand. The capacity of the plant will be 75,000 tons. It is designed to produce both L-lactides and D-lactides, made out of lactid acid sourced from the existing Purac plants.

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