Vietnam included in Thai’s CP Foods US$1-billion investment plan
Vietnam is the third-biggest market for CP Foods, after Thailand and China.
Charoen Pokphand Foods will invest 30 billion baht (US$977 million) in overseas plants in China and Vietnam, as well as research and development this year, accelerating its pursuit of growth outside Thailand, Nikkei Asian Review reported.
Illustrative photo.
|
In addition, food-processing facilities in China will be expanded.
Exports from the Vietnamese facilities were previously limited to shrimp and other seafood. The Charoen Pokphand Group member plans to convert them into an export hub. CP Foods expects to begin exports from Vietnam in a year and a half, Prasit said.
One anticipated destination is Japan, with CP Foods-arranged meetings already held between executives from such Japanese trading houses as Itochuand Sumitomo Corp. and Vietnamese government officials.
Presenting a new business strategy, Prasit said CP Foods aims to lift annual sales to 800 billion baht within five years from 555.5 billion baht for 2018.
The company, which generated 72% of sales in overseas markets last year, seeks to lift this to 75% by 2024.
With their home market aging, Thai companies are shifting investments to neighboring emerging countries into high gear. Vietnam is the third-biggest market for CP Foods, after Thailand and China.
In the fiscal year to December 2018, CP Foods saw its sales in Vietnam jump 26% on the year to 81.7 billion baht (US$2.56 billion), in stark contrast to those in Thailand, which remained flat.
Montri Suwanposri, CEO of CP Vietnam, a unit of CP Foods, was quoted as saying the company had so far invested a total of US$1 billion in Vietnam after the entry into the country in 1993.
18:03, 2025/02/22
Vietnam attracts South Korean tech investment at SEMICON Korea 2025
The event provided a platform for Vietnam to showcase its semiconductor potential and reaffirm its commitment to developing high-tech industries and strengthening international cooperation.
16:46, 2025/02/20
Swedish group plans US$1 billion investment in Binh Dinh recycling plant
By creating a large number of jobs and promoting a green economy, the initiative is important in establishing Vietnam as a global hub for the circular textile sector.
10:52, 2025/02/13
Samsung plans to invest in AI, semiconductors in Vietnam
Vietnam will continue improving its investment environment and driving strategic breakthroughs in order to usher in a new era of economic development.
17:20, 2025/02/07
Vietnam's data center construction costs among the lowest in Asia Pacific
The country has a lot of potential to become one of the most important data markets in the region.
21:05, 2025/02/03
Bright prospects for FDI inflows into Vietnam in 2025
Market size, growth potential, low labor costs, and stable political and social conditions continue to be Vietnam’s selling points in attracting foreign investors.
10:57, 2025/01/30
Foreign companies confirm investment expansion in Vietnam in 2025
Some foreign firms are optimistic about Vietnam's economic prospects in 2025 and plan to expand investment, focusing on sustainability across sectors.
- PM invites Skoda to manufacture electric vehicles in Vietnam
- US Berggruen Holdings to help Vietnam set up investment funds
- Vietnam releases Esports White Book 2022-2023
- Aircraft manufacturer Embraer seeks comprehensive aviation partnership with Vietnam
- Better links with FDI firms to support Hanoi businesses
- Vietnam calls for more US investment in innovation, hi-tech