Theppadungporn Coconut invests for rise in output
The ppadungporn Coconut has set aside a budget of Bt300 million to increase production of its Chaokoh and Mae Ploy brands while managing waste responsibly.
The aim is to boost the company’s market share in coconut milk, virgin coconut oil, coconut water, sweet chilli sauce and curry paste, managing director Apisak Theppadungporn said in a press release yesterday.
One-third of the budget will be invested in new equipment for the Chaokoh and Mae Ploy plants, and the remaining Bt200 million for a new environmentally friendly waste-management system. Both investments are expected to be completed by next quarter, he said.
"We have set a sales-growth target for 2015 of 3-5 per cent because our previous [2014] sales were the highest since our establishment," Apisak said.
Last year, the company reported revenue of Bt6 billion, up 30 per cent from 2013, which exceeded its predicted sales target of Bt5 billion and growth forecast of just over 20 per cent. This turnover was a new record for the company, he said, and went against the global trend of stagnant economic growth.
After the new equipment is installed, maximum annual production capacity will be 120,000 tonnes, while the set capacity will be 80,000 tonnes. Chaokoh and Mae Ploy products will account for 97 per cent of production and Yod Doi and other products for the remaining 3 per cent.
Choakoh’s main products are ready-made coconut milk, coconut water and processed vegetables and fruits.
Mae Ploy’s production lines will increase their maximum capacity by 20,000 tonnes per year for its main products, which are sweet chilli sauce, curry paste and chilli paste in oil, he said.
The company plans to increase its share of high-potential markets, such as in the coconut-oil and coconut-chips segments of the United States, in the coconut-water segment for Canada and Australia, and the coconut-oil segment in Japan. Moreover, the company says its market expansion focusing on health-related products has been a big success, gaining a large number of new customers.
"To widen our opportunity to tap into the new emerging markets, we decided to participate regularly in many international trade fairs, particularly those in the Middle East and China, which have high purchasing power," Apisak said.
"For the domestic market, we tend to focus on promoting virgin coconut oil. Meanwhile, we specifically highlighted both sweet chilli sauce and curry paste as our marketing strategy for the Mae Ploy brand."
Theppadungporn Coconut is a leading manufacturer and distributor of an array of coconut-based and processed products along with seasonings, curry paste and sauces as well as processed vegetables and fruits. The ratio of exports to local sales is 80:20, and the company serves customers in more than 27 countries worldwide.
Its sales in major markets comprised 55 per cent in the United States and Canada, 16 per cent in Oceania countries including Australia, New Zealand and the Pacific Islands, 15 per cent in the Asia-Pacific region including China and Japan, and 13 per cent in Europe.
