December 13, 2008


Thailand's Betagro to expand operations in Cambodia and Laos


Betagro Group plans to expand its pig-breeding operations in Cambodia and Laos, and its animal feed business in Thailand and Cambodia, starting next year.


The pig-breeding farms in Cambodia and Laos are worth THB160 million each, and the farms will each house 2,000 pigs, according to Narongchai Srisantisaeng, senior vice president for regional and feed business in Betagro.


Narongchai said the company's feed business has expanded into Cambodia in the past three years, with Betagro exporting 2,000 tonnes of animal feed products per month to the Cambodian market. As that figure is expected to double to 4,000 tonnes, Betagro will build a THB300 million plant in Cambodia with a production capacity of 6,000 tonnes within the next two years, Narongchai said.


The animal feed plant, however, will not be built before the pig breeding farm is constructed, Narongchai added.


Betagro will not be building an animal feed plant in Laos as the country has a lower consumption compared to Cambodia, Narongchai said.


Betagro currently exports about 600 tonnes of animal feed per month to Laos.


The company is also considering investing about THB1 billion for a new animal feed plant in Thailand's central province of Phetchaburi within three years if the global economy recovers, said Narongchai.


The new plant will have a production capacity of 30,000 tonnes per month, and will be used to meet demand in the west and the upper south regions of Thailand.


Narongchai said the company has earmarked THB100 million to launch three new commercial feed products for pets, livestock and aquatic animals next year.


Narongchai also said the company expects to achieve sales revenue of THB12 billion in 2009, up 10 percent from this year.


US$1 = THB35.0540 (Dec 13)

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