Illustrative photo (Source: VNA) Hanoi (VNA) – Several foreign firms have recentlyacquired stakes in Vietnamese food processing enterprises, showing the local foodindustry’s increasing attractiveness.
CJ Cheil Jedang (CJ) of the Republic of Korea (RoK) purchased 71.6 percent ofshares of the Cau Tre Export Goods Processing JSC (Cau Tre) – a prestigiousfood processor in Vietnam.
Previously,it also bought Minh Dat Food, a big meatball producer in the local market.
According to Chairwoman of Cau Tre’s Board of Directors Tran Thi Hoa Binh, the merger with theforeign partner helped the Vietnamese firm expand capital sources and accessnew technologies, diversifying its products and increasing competitiveness. Meanwhile,the foreign partner benefits from Cau Tre’s advantages and experience in thedomestic market.
Along with CJ, Daesang Corp of the RoK purchased 13 million shares of Duc Vietfood in March this year.
Food makers from Thailand and Japan are also enhancing trade promotionprogrammes and seeking more partners in Vietnam.
According to the Japan External TradeOrganisation (JETRO) in Ho Chi Minh City, the value of Japan’s foodexport to Vietnam reached 7.5 billion USD a year, with Japan aiming for a 30-percentgrowth of the export by 2019.
JETRO said it will work with Japanese retail systems such as Ministop,FamilyMart, and Aeon to study Vietnamese consumers’ demand in order to bringmore Japanese foods to the country.
Experts said a stable economic growth is the foundation for the boom in Vietnam’s food and beverage industry,which accounts for 15 percent of GDP and even higher in the future. NielsenVietnam estimated the country’s food and beverage market was valued at 30billion USD in 2016.-VNA
VNA
