Innovation, new markets part of UFC’s strategy
Universal Food, more commonly known as UFC, is one of Thailand’s leading processors, manufacturers and distributors of processed fruits and vegetables, beverages, and sauces and seasonings. Kwanchai Rungfapaisarn of The Nation talked with Francis Foo, UFC
FOUNDED IN October 1969, UFC has been recognised as one of Thailand’s key producers of a wide range of agricultural products for the world market. It is with this conviction that UFC decided to invest in fruit and vegetable development. The commitment in supplying the world with fruits and vegetables from Thailand also allowed UFC to contribute to much-needed employment in rural communities.
AS THAILAND’S LEADING MAKER OF PROCESSED FRUITS AND BEVERAGES, SAUCES AND SEASONING PRODUCTS, DO YOU HAVE ANY MEDIUM-TERM MISSION YOU WANT TO ACHIEVE IN THE NEXT THREE TO FIVE YEARS?
We are one of the leading manufacturers and marketers of beverages and canned fruits and vegetables.
In the medium term, we intend to invest and strengthen our human capital in all areas, especially in marketing and R&D, and also in infrastructure to position ourselves to capture the new opportunities in the market.
We have seen new investment opportunities both in innovations and new product development for the global markets to be in line with our medium [term] business plan.
WHAT ABOUT THE BUSINESS CONTRIBUTIONS FROM DOMESTIC SALES AND EXPORTS? AND WHAT IS YOUR FUTURE STRATEGY TO BOTH THE DOMESTIC AND EXPORT MARKETS?
Our present overall business contribution is slightly skewed towards the international markets. We intend to grow our domestic sales more aggressively through new products for domestic consumers and better distribution channels. The global key strategies are innovation, marketing, speed to market and improved distribution.
TO HOW MANY DIFFERENT MARKETS HAVE YOU ALREADY EXPORTED YOUR PROCESSED FRUITS AND VEGETABLES AS WELL AS SAUCES AND SEASONING GOODS? AND DO YOU PLAN TO ADD NEW EMERGING MARKETS TO YOUR PORTFOLIO?
We are now in more than 50 international markets for our beverages, canned fruits and vegetables. We are progressively moving into new markets less familiar to other players. We have recently made healthy inroads into [the] Middle East and are exploring a few states in Africa.
IN ADDITION TO THAILAND, DO YOU PLAN TO EXPLORE INVESTMENT OPPORTUNITIES IN OTHER POTENTIAL MARKETS, SUCH AS IN CLMV (CAMBODIA, LAOS, MYANMAR AND VIETNAM) AND OTHER ASEAN COUNTRIES?
Indeed, these are our close neighbours and they do present unique opportunities for investing in the near future.
Our UFC Refresh coconut water is the market leader in Singapore and enjoys some presence in the Philippines, Malaysia and Brunei.
Our UFC canned coffee is one of the brand leaders in Myanmar. In Vietnam, our juice range is gaining popularity. We are rebuilding our Homesoy soya milk [market] in Cambodia. We will continue to invest in marketing, brand building and distribution networks in Asean and CLMV to harness the growing demand in these promising economies. Our group of companies have been investing in manufacturing assets and in brand building in Malaysia for many years, and recently in Vietnam.
WHAT ARE THE OBJECTIVES OF INCREMENTAL INVESTMENT IN PRODUCTION?
On manufacturing capability and capacity, we have been investing in excess of a few hundred million baht over the past few years in Thailand. We will continue to do so in the next three years.
We plan to have combined total production capacities of more than 7 million standard cases in our two manufacturing sites [in Nakhon Pathom and Lampang] in the next three years.
