Betagro Group, a Thai food and feed producer, will spend 3 billion Baht to expand it's food and feed operations in 2012.
While approximately 600 million baht has already been spent on Betagro MS Deli's sausage and cooked-food factory in Lop Buri province, the left over budget is set to be utilised to construct a new food-processing production line in Khon Kaen province, and to upgrade its current facilities and set up a new feed mill in Lop Buri.
The building of the feed mill is due to be finished in the third quarter of 2012. The production is to be split equally between Betagro and external customers.
Sales of Betagro Group in 2012 are anticipated to reach 68 billion baht, up from 60 billion baht in 2011. Of the total, roughly seventy percent is set to derive from the domestic market and the rest from exports. Of this about 55% of the products are exported to Europe and the other 45% to Japan.
"Though the European economy is facing a slowdown, our sales volume has not been affected because market demand continues to grow. However, sales value has declined slightly," senior vice-president for corporate marketing, Mr Athapol said.
With so many uncontrollable factors in the last half of this year including the economic slowdown in Europe and higher wages and fuel prices, the company will reduce its risk and raise efficiency by automating production where it can.
At the same time, the company will expand its S-Pure brand internationally.
Currently, S-Pure products can be bought in across 200 premium supermarkets in Hong Kong, with an additional 100 outlets to be added this year.
New brands of processed food and value products from Betagro, are also in the plans for 2012.