January 29, 2008

Maruha to acquire US$28million shrimp farm in Malaysia
 

Japanese seafood supplier Maruha Corp. will purchase Malaysia's shrimp farm operator Agrobest Sdn Bhd as it readies for global competition, and penetration of new markets.
 

Maruha aims to boost its cultivation and supply of shrimp through the acquisition in the face of intensifying global seafood competition.

Although Maruha has its own overseas shrimp farms operations, but this will be its first shrimp farm operation takeover. Agrobest plans to farm 7,500 tonnes of shrimp in 2009.

Agrobest's sales have risen to JPY 4 billion (US$37.4 million) and while most of its products will be exported to Japan, Maruha plans to supply about 500 to 1,000 tonnes to Europe, the US, and other parts of Asia within the next three years.

According to Maruha, Japan's 2005 shrimp imports are about 300,000 tonnes. Maruha Nichiro Holdings is expected to import 50,000 tonnes this fiscal year, making it the number one shrimp importer with a nearly 20 percent market share.

Maruha is Japan's top seafood producer, getting 75 percent of its sales from its marine products division. The company also provides canned, frozen, and other processed convenience foods. The Maruha Group, consisting of 168 companies, became a holding company in 2004.