Betagro to construct feed mill in Cambodia with 18,000 tonne annual capacity
Betagro (Cambodia) will be building its USD$17.2-million feed mill in Cambodia at the Phnom Penh Special Economic Zone (SEZ), located 12km from the city centre.
Construction will start in May and it is expected to be completed sometime in 2014. The feed mill will supply Betagro's swine operation in the country, as well as the country's livestock industry. The new feed plant will facilitate transportation and help to reduce the company's transportation cost. This in turn will add price competitiveness to the company's products and improve service quality to their customers.
Senior vice president of Betagro's regional and feed business, Narongchai Srisantisaeng, said that when completed, the feed mill will have a production capacity of 18,000 tonnes per annum. Over the next few years, production capacity of the plant will rise to 24,000 tonnes per annum.
The company is also conducting feasibility tests on the opening of a processing plant and Betagro Shop in the country. Betagro first entered Cambodia with a sale office in 2008. It currently imports 3,600 tonnes of animal feed per month from Thailand to sell in Cambodia.
The market demand for livestock feed in Cambodia is estimated at 100,000 tonnes/month. Of this, CP currently supplies 42%, including feed from its 5,000 tonnes. month feed mill at Kandal.
Other competitors in Cambodia include Vietnam's Green Feed which supplies 6,000 tonnes of feed a month from Kampong Cham, along with Chinese group New Hope and Korea's SCF, which each supply about 2,000 tonnes. Cambodia's Master Feed supplies about 4,000 tonnes of feed a month, BVB 3,000 tonnes and M's Pig 900 tonnes.
China's East Hope Group is also currently building a feed mill in the country. Feed is currently being imported from Vietnam by De Heus, Proconco, and Cargill into the country.
