KUALA LUMPUR, Chitose Group, the operator behind the world’s largest flat-panel photobioreactor-based microalgae facility in Kuching, Sarawak, is setting an ambitious target: developing 10 million hectares of large-scale microalgae farms across Malaysia, Indonesia, India, the Middle East, and other regions by 2050. This bold expansion could tap into a potential global market valued at US$4.2 trillion (RM17.72 trillion).
Ryosuke Koike, Executive Officer of Chitose Bio Evolution Pte Ltd
Ryosuke Koike, Executive Officer of Chitose Bio Evolution Pte Ltd, the group’s holding company, said Chitose aims to commercialise a wide range of microalgae-derived products, including chemicals, fuels, cosmetics, food, and animal feed. With operations already established in Japan, Singapore, Brunei, Thailand, and Vietnam, Chitose intends to build a sustainable algae-based industry as an alternative to fossil-fuel-based systems.
“Our Matsuri initiative – a global collaboration with more than 100 partners, including major corporations, universities, and research institutions – supports this goal. Each production site will operate on a self-funded model, generating its own capital through cash flows,” Koike told Bernama.
Rather than owning the production assets directly, Chitose aims to oversee and manage the full algae biomass supply chain.
In Sarawak, the group is working alongside the Sarawak Biodiversity Centre, Japan’s Institute of Microalgal Technology (IMAT), and the New Energy and Industrial Technology Development Organization (NEDO) on a five-hectare facility established in 2023. With US$400 million in R&D funding from the Japanese government, the site is expected to expand by 2030 to support new product development from microalgal biomass.
Koike highlighted Malaysia’s abundant sunlight and equatorial climate as ideal for photosynthesis-based algae farming. “Through microalgae cultivation, we aim to support global decarbonisation efforts and reduce reliance on fossil fuels,” he said, noting the wide applications of microalgae, including fuels, plastics, fibres, paint, and food.
Despite global shifts in trade policies, Koike said Chitose remains focused on its long-term mission. “We’re building a society that can sustain humanity for the next thousand years,” he said.
Beyond microalgae, Chitose is actively involved in sustainable agriculture in Malaysia. In Cameron Highlands, the group partners with over 20 local farmers to grow produce using eco-friendly Japanese soil cultivation methods. Chitose-brand fruits and vegetables are already sold at more than 70 retail outlets and featured in over 100 restaurants in Malaysia, Singapore, and Thailand.
The group aims to increase this reach to 250 stores and 300 dining establishments across the region within three years. Koike added that Chitose is actively seeking local partners and distributors to expand its agricultural footprint, particularly in Kuala Lumpur and other urban areas.
Chitose will also showcase its algae-based circular manufacturing model at Expo 2025 Osaka Kansai under the Japan Pavilion. The “Algal by Matsuri” exhibition will feature a variety of algae-derived products, from food and cosmetics to sustainable clothing, paint, PET resin, and even fuels for aviation and marine transport.