October 18, 2011

CP Group chooses Melbourne to expand exports

Charoen Pokphand Group (CP) has chosen Melbourne as its base to expand primary produce exports from Australia to its factories in Thailand.

CP, which imports AUD200 million (US$203.8 million) of Australian wheat each year, is in the process of setting up local operations as it hopes to expand and source meat, seafood, dairy and other products.

CP Australia's general manager Richard Lewis said the aim was to diversify operations and source produce directly from Australia rather than through intermediaries.

The company's target is to export at least AUD50 million (US$ 50.94 million) in additional food produce by the end of next year.

CP, which has annual global turnover of AUD30 billion (US$30.6 billion) with 19 offices worldwide, will open an office at Docklands next month.

As it grows, it will employ primary industry specialists in meat, dairy and seafood.

Lewis said CP saw huge potential in Australia's beef and lamb industries, but also hoped to export poultry, despite already being Asia's largest producer of chickens.