Thailand’s CP Foods to set up $200 million Vietnam export hub
Thai agricultural conglomerate CP Foods will invest $200 million to create an export hub in Vietnam to take advantage of its TPP membership.
The hub would be for the company’s poultry and pork businesses, the Nikkei Asian Review reported.
The company is hoping to take advantage of Vietnam’s membership of the Trans-Pacific Partnership trade deal, which gives the country more advantageous trading terms with other members.
Ten other countries have signed the TPP: Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, and Singapore.
CP Foods is also planning to boost shrimp exports with the backing of the Vietnamese government. It plans to increase its shrimp farming capacity in the country to 50 billion units a year from the current 12 billion.
CP Group (Charoen Pokphand Group), which owns CP Foods, was established in 1921 and is now one of Thailand's largest enterprises in manufacturing, agriculture and food processing.
The company first came to Vietnam in 1988 with a representative office and incorporated CP Vietnam in 1993 to engage in the livestock and aquaculture businesses.
It has so far invested $1 billion in Vietnam, Montri Suwanposri, CEO of CP Vietnam, said.