Betagro Group, one of Thailand's biggest agro-industrial and food companies, seeks sales growth of 15% this year from the food business, led by processed food and exports.
Somsak Boonlarp, chief operating officer for food of Betagro, said the company expects sales from its food business will top 53 billion baht this year, up from 49 billion last year. Some 30% of total sales will stem from exports, up from 24% last year.
Betagro aims to increase export volume by 12% this year to 97,580 tonnes at year-end, mainly for frozen cooked chicken and chicken raised without antibiotics under the S-Pure brand.
Export markets include Asia, specifically Hong Kong, Singapore, Japan and the Middle East, as well as Europe and Scandinavian countries.
"The company is looking to become one of the world's leaders in safe and hygienic food products free from antibiotics, hormones and growth stimulants, certified as raised without antibiotics for fresh pork, chicken, and eggs," he said. "We plan to invest more in the intermediate manufacturing process this year to capture the ready-to-eat and processed food markets both for domestic and exports."
For the past 2-3 years, the company has focused investment mainly on upstream processes such as farm and animal feeds.
Mr Somsak said the company's 600-million-baht processed food factory in Lop Buri is under construction and is due to be completed in September this year. The new facility has a production capacity of 3,000 tonnes a year and will focus largely on teriyaki chicken for export to Japan.
The company also plans to increase Betagro shops to 200 this year from 190 last year, selling products to wholesale and food service businesses.
He said the deepening trade war has not affected Betagro's export market, but admitted the fluctuating exchange rate has troubled the company's exports.
"Thailand's poultry exports look promising this year because of the rising price of livestock products, including eggs and pork, compared with last year," said Mr Somsak. "But the country needs to prevent diseases that have broken out in other countries."
He said Thailand's food products still have a lot of opportunities in the global market as long as local producers can offer a variety of processed food products and adjust as fast as possible to customers' varying needs.
Founded in 1967 to make and distribute animal feed, Betagro Group operates a wide range of agriculture-related business, such as chicken and swine farms, eggs, processed meat, animal drugs and pet food, from 30 factories.
The company reported sales of more than 90 billion baht last year, with 80% from domestic sales. Food business made up 60% of total sales.
