April 26, 2024

Philippines-based Aboitiz Group expands feed mills in China, Vietnam

Philippines-based Aboitiz Group is extending its reach into new market segments in the region through the expansion of its feed mills in China and Vietnam, according to Tristan Aboitiz, president and CEO of Pilmico and Gold Coin Group, Philippine Daily Inquirer reported.

During a virtual briefing, Aboitiz revealed that the enhancement of two offshore facilities is set for completion in the first half of this year. The feed mill in Yunnan, China, is slated to have an initial capacity of around 150,000 metric tons (MT) per annum, with potential for expansion up to 270,000 MT.

Aboitiz emphasised the commitment to bolstering their presence in key markets across the region through strategic investments in assets and businesses.

Parent company Aboitiz Equity Ventures Inc (AEV) has allocated nearly PHP 4 billion (US$69.3 million) for Pilmico and Gold Coin Group this year, primarily aimed at agribusiness expansion projects. The planned feed mill facilities are expected to facilitate entry into new segments of the feed market in the region and bolster the livestock business in southern Vietnam.

Pilmico and Gold Coin Group operate across four divisions: flour, feeds, farms, and commodity solutions, with a significant presence in the Asia-Pacific region, boasting over 29 hubs in eight countries.

Meanwhile, the facility in Long An, Vietnam, will kick off operations with an initial capacity of 200,000 MT per annum, with plans for expansion up to 300,000 MT.

Aboitiz highlighted these initiatives as part of the group's strategic efforts to enhance service capabilities across the region and cater to a diverse customer base. The goal is to develop capabilities that ensure the production of customer-relevant products at the most competitive cost.

With an annual capacity of 4.2 million MT, Pilmico and Gold Coin Group stand as major players in the Southeast Asian feeds market.

-      Philippine Daily Inquirer