FRIDAY, March 29, 2024
nationthailand

CPRAM earmarks Bt20 bn to build new plants over 5 years

CPRAM earmarks Bt20 bn to build new plants over 5 years

CP Retailing and Marketing (CPRAM), a maker of dim sum, ready meals and bakery products, says it will invest Bt20 billion in expanding its factories and distribution centres to double its manufacturing capacity over the next five years.

As a subsidiary of CP All, operator of 7-Eleven convenience stores, CPRAM also expects to double its sales from the Bt11.5 billion targeted for next year, which is up 15 per cent over this year, to about Bt20 billion by 2017.

Established on December 12, 1988, CPRAM currently has a registered capital of Bt600 million. It is able to produce 1.8 million pieces of dim sum, 280,000 packs of ready meals and 1.4 million bakery items per day.

Wisade Wisidwinyoo, senior vice president, said the company currently operated six plants, in Lat Lum Kaeo in Pathum Thani, Lat Krabang in Bangkok, Khon Kaen, Chiang Mai, Phitsanulok and Hat Yai.

"With this investment, we will open seven new plants over the next five years, mainly upcountry," he said. "They will be in Chon Buri, Nakhon Pathom, Ubon Ratchathani, Nakhon Sawan, Surat Thani, Prachuap Khiri Khan and Nakhon Ratchasima. With those plants, we will be able to distribute our products to retail shelves with lead time of no more than three hours."

He said that of the Bt20-billion five-year investment budget, about Bt5 billion would be allocated to the expansion in each of the first three years, and about Bt5 billion would be spent in the last two years.

"We plan to set up our first innovation centre at our manufacturing complex in Chon Buri next year. The centre will be for initiating and demonstrating innovations in the field of products, technology, organisation, processing, service and management," Wisade said.

He added that the company would next year invest about Bt5 billion in setting up a new plant in Chon Buri as well as expanding its plants in Lat Krabang and Lat Lum Kaeo. Construction of the new facility in Chon Buri would be complete and start operations in the first quarter of next year.

Wisade said CPRAM planned to penetrate new export markets such as Russia, China, Asean and South Africa. These would be added to its existing export markets that include Japan, Europe and North America, which have been facing economic slowdowns.

With the new market expansion, the company wants to increase its export proportion from 15 per cent now to more than 20 per cent within five years.

"We plan to launch our new businesses – central kitchen and food service – in the next five years. With the central kitchen, we will supply ready-meal products exclusively to 7-Eleven convenience stores. The products will be designed and created differently depending on locations.

"In the food-service business, we plan to open our own food retail outlets, whether mobile units or eateries, in office buildings and other locations," Wisade said.

CPRAM has also changed its logo to be more colourful and have an international look.

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