The company said that it would be investing in enhancing its production capabilities as well as research and development facilities for its fragrance operations in the cosmetics and toiletries category, as well as its flavours operations for the food industry.
The investment will centre on its 100 per cent-owned subsidiary, Takasago International, which is the Southeast Asia regional hub, located in Singapore.
The programme will establish a new base of operations in another location in Singapore, although the company has not confirmed exactly where that will be at this point.
Investing to keep up with demand
In Southeast Asia growth for both fragrances and flavours has remained high thanks to continued economic growth and the continued expansion and development of the retail market.
Takasago says that in particular it will be targeting significant growth in the emerging markets of Vietnam and Indonesia, which has helped the Takasago International division to consistently grow its operation in the region above a rate of 20 per cent.
The company says it expects demand for fragrances for a wide range of toiletries to continue to grow in the region and the investment in the operations is expected to help the company keep apace of higher demand in medium-to long-term.
Growing the business globally
The expansion will also help to serve its customer base in Japan to grow their businesses in the region, and will also help it to grow its business on a global basis.
Back in 2008 the company announced the acquisition of New Jersey-based Wessel Fragrances, in an attempt to increase its global footprint.
The aim of the takeover was to significantly increase its net sales, as well as giving it access to a new consumer base centred in the North America region.