Thai agro-business giant Charoen Pokphand Foods has announced to set up a subsidiary company in the Philippines.
CPF, the flagship of Charoen Pokphand Group and Thailands biggest agribusiness and food conglomerate, moves to the islands to put up a company with livestock and aquaculture operations.
In a letter to the Thai stock exchange CPF said it would invest approximately 37 million baht (€866,000) for its new subsidiary, to be called CPF Philippines.
The new company in the Philippines, a country with over 70 million inhabitants, will be set up by the second quarter of the year.
In a statement on the company’s website, CPF president and chief executive Adirek Sripratak called the Philippines ‘an upcoming market’.
“We chose Cebu which is one of the country’s economic zones to start our fry shrimp business, so we can encourage our shrimp feed that have been exported to the market for a while.
“However, we are estimating an opportunity to develop other feed and animal breeding businesses in the future,” he added.
Last year, the company announced to move into Russia and into Laos.
In Thailand, CPF is the biggest pork integrator with feed mills, farms and slaughterhouses all over the country. The company is also strong in neighbouring Vietnam and has investments in Turkey, the US, the EU, Malaysia, Vietnam, India and China.
Last year, the firm saw a 63% decline in net income to 2.51 billion baht (€59 million) from 6.75 billion baht (€158 million) due to lower prices of meat and avian influenza outbreaks in Thailand and Turkey.
â€¢ Charoen Pokphand Foods
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