Thai packaging paper company increases investment in Vietnam
Bangkok (VNA) -
Thailand’s SCG Packaging Plc (SCGP) will invest 11.79 billion baht
(352.9 million USD) to develop a paper
factory in its new production complex in northern Vietnam, which has
grown into one of the region's major export centres, according to the Bangkok
Post newspaper on September 21.
The investment, which will be made through its
Vina Kraft Paper Co (VKPC), is aimed at increasing packaging paper production
capacity by about 370,000 tonnes a year.
CEO of the SCGP Wichan Jitpukdee expected the
new production facility, which will be located in Vinh Phuc province, to start
operations in early 2024.
Demand for packaging paper and related
packaging products in the country is expected to increase by approximately 6-7
percent a year during 2021-2024, according to the SCGP.
Since 2009, SCGP has rolled out its strategic investment plan in
Vietnam by establishing packaging paper production based in the south of the
country through VKPC.
The company is a 70:30 joint venture between SCGP and Rengo Co
from Japan.
SCGP is confident that it could earn 100
billion baht this year from domestic and overseas businesses as well as merger
and acquisition deals, despite the prolonged COVID-19 outbreak./.