Milk for Thai Club has proposed that Dairy Milk and Milk Product Act B.E. 2551 (2008) should be revised and amended. One of the most important calls is to establish the National Dairy Council as a full-function agency, which serves as "a foundation" to develop the dairy farm industry and to ensure that dairy farmers will sruvive.
In its latest move, the Department of Livestock Development under Ministry of Agriculture and Cooperatives drew up a "Draft Act for Dairy Milk and Milk Product B.E......." and conduct a public hearing on August 26, 2009.
The Milk for Thai Club was concerned with two main issues: the representative proportion and the structure of the Committee of the Dairy and Milk Product Fund; and the management of the Dairy and Milk Product Fund.
In the first issue regarding the structure of the committee, the new draft of the Dairy Milk and Milk Product Act makes it clear that the representation of the state in the committee is higher than the representation of dairy farmers and business operators. The Milk for Thai Club proposed equal representative proportion of the committee. The government sector should play a role as the supporter to coordinate stakeholders in solving problems such as milk oversupply and milk quality, for example.
In the second issue regarding the Daily and Milk Product Fund, which serves as a major source of funds for the sustainable development of the dairy farm industry by collecting income from stakeholders in the industry. However, in the draft act of the Dairy Milk and Milk Product Fund, the authority to manage payment is controlled by the government, not the fund committee which is appointed from stakeholders who will ensure that the Thai dairy farm industry to be sustainably developed, to be self-dependent, and to be stable in a long run.
More information, pelase visit www.milkforthai.org
Wednesday, September 23, 2009
Monday, September 21, 2009
JBS eyes top spot with twin deals
Brazil's JBS SA said on Wednesday that it would take over the bankrupt US chicken company Pilgrim's Pride Corp and Brazilian rival Bertin, in deals that would make it the world's largest meat company with $30 billion in annual revenue.
JBS, a huge beef producer with some pork operations, will buy a 64% stake in Pilgrim's Pride for $800 million in cash,pitting it against current No. 1 meat company Tyson Foods in the chicken business in addition to its pork and beef divisions.
"It's a good deal for both parties,"Morningstar analyst Ann Gilpin said."JBS is able to get a lot of scale in an industry where it doesn't have any presence for pennies on the dollar."
It also provides JBS with a share of the US chicken export market.
"In terms of benefits, it is a global story rather than a US story," said Jim Robb, economist with the Livestock Marketing Information Centre."They well understand the international focus. When is exported, they see some potential in that poultry complex from a global demand perspective."
JBS, which already is the world's largest beef processor, will take a controlling stake in Brazil's second-largest beef producer Bertin. The all-stock transaction has an estimated value of 5.2 million reais , based on Tuesday's JBS share price.
The deals are the latest in a string of acquisitions by JBS, which started as a butcher shop in 1953. In the United States, it bought beef and pork company Swift & Co in 2007 and a year later the US cattle feedlots and beef plants from Smithfield Foods.
JBS on Wednesday said it would postpone the $2 billion IPO it announced in July because it has to change the details on the filing due to the recent developments.
JBS expects US and Brazilian regulators to approve the deals.
"In Brazil, we don't see concentration existing since both companies export 50% of their own production and the local market is spread out," said Joesley Mendonca Batista, JBS chief executive.
While the Obama administration may closely scrutinise the Pilgrim's Pride deal,analysts expect it will be approved since there would be no change in the number of US chicken companies or their respective market shares.
"It will be an interesting test of the administration's view on consolidation,"said Michael Swanson, a Wells Fargo agricultural economist."I would not think it is going to be a slam dunk that it gets approved."
In the United States, the Brazilian company is already the third-largest beef producer, after Tyson and Cargill, and the third-largest pork producer, after Smithfield and Tyson.
JBS expects the deal to close in December when Pilgrim's Pride would emerge from Chapter 11 protection.
Pilgrim's Pride chief executive Don Jackson told Reuters that mostof Pilgrim's executive management would remain once the deal is approved and that company operations should largely be unchanged.
Pilgrim's Pride grew from a feed store opened 1946 to the largest US chicken company before high feed and fuel costs and large debt forced it into bankruptcy in December 2008. While in bankruptcy it sold and closed plants and reduced production.
Under the plan, all creditors will be paid in full and existing stockholders will get the same number of new common shares representing 36% of the reorganised company. The plan also calls for $1.75 billion to cover senior secured financing.
JBS, a huge beef producer with some pork operations, will buy a 64% stake in Pilgrim's Pride for $800 million in cash,pitting it against current No. 1 meat company Tyson Foods in the chicken business in addition to its pork and beef divisions.
"It's a good deal for both parties,"Morningstar analyst Ann Gilpin said."JBS is able to get a lot of scale in an industry where it doesn't have any presence for pennies on the dollar."
It also provides JBS with a share of the US chicken export market.
"In terms of benefits, it is a global story rather than a US story," said Jim Robb, economist with the Livestock Marketing Information Centre."They well understand the international focus. When is exported, they see some potential in that poultry complex from a global demand perspective."
JBS, which already is the world's largest beef processor, will take a controlling stake in Brazil's second-largest beef producer Bertin. The all-stock transaction has an estimated value of 5.2 million reais , based on Tuesday's JBS share price.
The deals are the latest in a string of acquisitions by JBS, which started as a butcher shop in 1953. In the United States, it bought beef and pork company Swift & Co in 2007 and a year later the US cattle feedlots and beef plants from Smithfield Foods.
JBS on Wednesday said it would postpone the $2 billion IPO it announced in July because it has to change the details on the filing due to the recent developments.
JBS expects US and Brazilian regulators to approve the deals.
"In Brazil, we don't see concentration existing since both companies export 50% of their own production and the local market is spread out," said Joesley Mendonca Batista, JBS chief executive.
While the Obama administration may closely scrutinise the Pilgrim's Pride deal,analysts expect it will be approved since there would be no change in the number of US chicken companies or their respective market shares.
"It will be an interesting test of the administration's view on consolidation,"said Michael Swanson, a Wells Fargo agricultural economist."I would not think it is going to be a slam dunk that it gets approved."
In the United States, the Brazilian company is already the third-largest beef producer, after Tyson and Cargill, and the third-largest pork producer, after Smithfield and Tyson.
JBS expects the deal to close in December when Pilgrim's Pride would emerge from Chapter 11 protection.
Pilgrim's Pride chief executive Don Jackson told Reuters that mostof Pilgrim's executive management would remain once the deal is approved and that company operations should largely be unchanged.
Pilgrim's Pride grew from a feed store opened 1946 to the largest US chicken company before high feed and fuel costs and large debt forced it into bankruptcy in December 2008. While in bankruptcy it sold and closed plants and reduced production.
Under the plan, all creditors will be paid in full and existing stockholders will get the same number of new common shares representing 36% of the reorganised company. The plan also calls for $1.75 billion to cover senior secured financing.
Friday, September 18, 2009
GPO seeks hygienic eggs to make flu jab
The Government Pharmaceutical Organisation is seeking the help of the Livestock Department to acquire hygienic local hen eggs to produce flu vaccines after limitations were found with imported eggs.
GPO deputy managing director Somchai Srichainak yesterday said the agency could produce up to 1,000 specific pathogen-free (SPF) eggs a day for vaccine development.
He said the GPO and the department were discussing the feasibility of in-creasing the production and supply of SPF eggs."We're seeking ways to find local hygienic egg suppliers to help in the manufacture of vaccines as the time it takes to ship supplies from overseas could affect the eggs and the vaccine production," Mr Somchai said.
SPF eggs are now being imported from Germany and the US.
Mr Somchai said the GPO at first planned to use hygienic eggs from local poultry producers such as CP and Saha Farm to cultivate the virus. But their technologies were not tailored for SPF egg production unlike those from the Livestock Department.
However, imported eggs were still needed for vaccine production as an average of 1,500 SPF eggs were used to manufacture each batch of vaccine.
GPO chairman Vichai Chokewiwat said a committee overseeing human vaccine trials would meet tomorrow to decide if the trials should be delayed.They were scheduled to start on Sept 24.
A report of a lung infection in one of 12 guinea pigs being used in pre-trial tests had raised concerns, although studies had shown the flu vaccine did not cause the problem.
Postponing the human trials would set back the availability of the vaccine which was scheduled for January.
The Public Health Ministry yesterday confirmed 11 new deaths from the typeA (H1N1) flu, bringing the country's death toll since the outbreak began to 153, deputy permanent secretary for health Paijit Varachit said.
H1N1 WATCH Deaths: As of Sept 12,compared to Sept 5 142 153 Sept 5Sept 12 Contact numbers: * Public Health Ministry hotline: 02-590-1994 (24 hours) or 1422 * Health Emergency Response Unit: 02-590-3333 * BMA disease control division: 02-245-8106
GPO deputy managing director Somchai Srichainak yesterday said the agency could produce up to 1,000 specific pathogen-free (SPF) eggs a day for vaccine development.
He said the GPO and the department were discussing the feasibility of in-creasing the production and supply of SPF eggs."We're seeking ways to find local hygienic egg suppliers to help in the manufacture of vaccines as the time it takes to ship supplies from overseas could affect the eggs and the vaccine production," Mr Somchai said.
SPF eggs are now being imported from Germany and the US.
Mr Somchai said the GPO at first planned to use hygienic eggs from local poultry producers such as CP and Saha Farm to cultivate the virus. But their technologies were not tailored for SPF egg production unlike those from the Livestock Department.
However, imported eggs were still needed for vaccine production as an average of 1,500 SPF eggs were used to manufacture each batch of vaccine.
GPO chairman Vichai Chokewiwat said a committee overseeing human vaccine trials would meet tomorrow to decide if the trials should be delayed.They were scheduled to start on Sept 24.
A report of a lung infection in one of 12 guinea pigs being used in pre-trial tests had raised concerns, although studies had shown the flu vaccine did not cause the problem.
Postponing the human trials would set back the availability of the vaccine which was scheduled for January.
The Public Health Ministry yesterday confirmed 11 new deaths from the typeA (H1N1) flu, bringing the country's death toll since the outbreak began to 153, deputy permanent secretary for health Paijit Varachit said.
H1N1 WATCH Deaths: As of Sept 12,compared to Sept 5 142 153 Sept 5Sept 12 Contact numbers: * Public Health Ministry hotline: 02-590-1994 (24 hours) or 1422 * Health Emergency Response Unit: 02-590-3333 * BMA disease control division: 02-245-8106
SICK GUINEA PIG MAY DELAY FLU VACCINE TEST
The Government Pharmaceutical Organisation (GPO) will decide next Wednesday whether to delay the first phase of clinical trials of a vaccine against a new strain of type-A (H1N1) influenza discovered after a test with guinea pigs found one had an infection in its lungs.
Meanwhile, the Public Health Ministry announced yesterday the type-A (H1N1) virus has killed 11 people during the past seven days, bringing total fatalities to 153. Most were suffering underlying diseases.
The GPO had planned to run its first clinical vaccine trial against the flu virus on September 21. However, after finding an infection during an animal trial, GPO decided to put off its human trials for another three days.
GPO board chairperson, Dr Wichai Chokwiwat said the board will meet on Friday to discuss results of the animal trial where one of ten guinea pigs was found to have developed pockmarks in its lung.
"We will have to study all information about the guinea pig tests carefully before we make a decision whether or not to begin testing the vaccine in 24 volunteers from September 24," he said.
"We will postpone the human trials if we find any problems in the first lot of vaccine against new flu virus," he said.
Wichai said he has consulted with experts about the marks in the guinea pig's lungs and been advised they might have been caused by an abnormality in the animal and not by the vaccine.
He said scientists had injected the vaccine into two guinea pigs with the same concentration planned for humans. One of the two guinea pigs developed an infection which might have been caused by a previous lesion.
GPO's deputy director, Somchai Srichainaka said they were negotiating with the Livestock Development Department to produce local specific pathogen free eggs for the production of vaccine.
GPO has faced problems importing these hen's eggs for vaccine development from Germany and the United States.The long distance transportation might be affecting specific eggs and causing the virus incubated in them to grow more slowly. However 3,000 eggs from the US will arrive today.
Somchai said Thailand would save expense in the long term if it could produce local specific free pathogen eggs, reducing costs from Bt180 to Bt120 an egg. GPO has asked the US Food and Drug Administration for help with production of the specific free pathogen.
World Health Organisation (WHO) representative to Thailand, Dr Maureen Birmingham, said WHO is negotiating with two leading vaccine makers,Sanofi Pasteur and GlaxoSmithKline, to contribute vaccine to the WHO for distribution to developing countries. Agreement is expected in the next two weeks.
Meanwhile, the Public Health Ministry announced yesterday the type-A (H1N1) virus has killed 11 people during the past seven days, bringing total fatalities to 153. Most were suffering underlying diseases.
The GPO had planned to run its first clinical vaccine trial against the flu virus on September 21. However, after finding an infection during an animal trial, GPO decided to put off its human trials for another three days.
GPO board chairperson, Dr Wichai Chokwiwat said the board will meet on Friday to discuss results of the animal trial where one of ten guinea pigs was found to have developed pockmarks in its lung.
"We will have to study all information about the guinea pig tests carefully before we make a decision whether or not to begin testing the vaccine in 24 volunteers from September 24," he said.
"We will postpone the human trials if we find any problems in the first lot of vaccine against new flu virus," he said.
Wichai said he has consulted with experts about the marks in the guinea pig's lungs and been advised they might have been caused by an abnormality in the animal and not by the vaccine.
He said scientists had injected the vaccine into two guinea pigs with the same concentration planned for humans. One of the two guinea pigs developed an infection which might have been caused by a previous lesion.
GPO's deputy director, Somchai Srichainaka said they were negotiating with the Livestock Development Department to produce local specific pathogen free eggs for the production of vaccine.
GPO has faced problems importing these hen's eggs for vaccine development from Germany and the United States.The long distance transportation might be affecting specific eggs and causing the virus incubated in them to grow more slowly. However 3,000 eggs from the US will arrive today.
Somchai said Thailand would save expense in the long term if it could produce local specific free pathogen eggs, reducing costs from Bt180 to Bt120 an egg. GPO has asked the US Food and Drug Administration for help with production of the specific free pathogen.
World Health Organisation (WHO) representative to Thailand, Dr Maureen Birmingham, said WHO is negotiating with two leading vaccine makers,Sanofi Pasteur and GlaxoSmithKline, to contribute vaccine to the WHO for distribution to developing countries. Agreement is expected in the next two weeks.
Tuesday, September 15, 2009
BUFFALO RESCUE SAVES FARMERS
Ten years ago, there were about 6 million water buffaloes in the Kingdom. Today there are less than a million," said Wanlop Chearavanont who heads the charity arm of Thailand's biggest farm conglomerate Charoen Pokphand.
"This is why since 2002, we have been involved with His Majesty the King's projects to save the buffaloes from extinction."
The sharp decline is a result of rapid industrialisation of the farms where tractors replaced the beast as the traditional way of ploughing the land for many centuries.
"Millions of buffalo were killed for meat, as farmers assumed they were no longer needed and were too costly to keep," he adds.
"But now, with the price of fuel shooting up and the cost of tractors [costing more than Bt700,000] jumping beyond the means of most farmers, the buffalo are again their only hope.
"It was HM the King who foresaw the danger of losing them, which puts farmers at the mercy of inflation and prolonged recessions.
"Many farmers now appreciate His Majesty's efforts and have gone back to using their natural partner."
"Each year, the group donates 200 buffalo to farmers under the Royal Water Buffalo Bank project, which buys buffalo destined for the slaughterhouse.
The initiative is conducted twice a year in Thailand: on Mother's Day and Father's Day.
Wanlop, 71, has spent the past three decades supporting more than 100 corporate-social-responsibility programmes, which includes presenting 150 scholarships to poor student a years.
He said the royal projects were of special importance because His Majesty's understanding of the problems of farmers went deeper than the superficial minds of some bureaucrats and politicians.
"I'm very frustrated by how slow the government works, even when issues such as energy and water shortages are clearly acute."
Water conservation, which should be easy to apply, is for several decades delayed because of slow action by state officials, he said.
"His Majesty had urged for the construction of irrigation canals like those built by King Chulalongkorn in Rangsit to prevent flooding, as well as the conservation fresh water supplies," Wanlop said.
The infrastructure, now a century old, has protected Bangkok and allowed it to prosper. But now, an increased populace and land subsidence demands building a second irrigation canal system.
"These canals cut across rivers, channelling water deep inland and prevent the wasteful discharge of vital fresh water supplies straight into the sea," he said.
"Whenever I ask bureaucrats why nothing is done, they say the World Bank does not fund canals, only dams.
"I'm constantly saddened bny corruption and inaptitude. The needs of the people should not be so shoddily ignored."
Wanlop is a close cousin of CP Group chairman Dhanin, who is ranked among Asia's wealthiest people by Forbes magazine.
"Our family members all share His Majesty's concerns and worthy causes," Wanlop said.
Wanlop and Dhanin are greatly influenced by the Christian schools they attended.
"I went to Assumption College, which was run by St Gabriel, and Sarasit Phittayalai, a boarding school run by the Salasian order.
"Both schools profoundly influenced me to make social contributions," he said.
Founded in 1921, CP employs more than 250,000 people worldwide.
"This is why since 2002, we have been involved with His Majesty the King's projects to save the buffaloes from extinction."
The sharp decline is a result of rapid industrialisation of the farms where tractors replaced the beast as the traditional way of ploughing the land for many centuries.
"Millions of buffalo were killed for meat, as farmers assumed they were no longer needed and were too costly to keep," he adds.
"But now, with the price of fuel shooting up and the cost of tractors [costing more than Bt700,000] jumping beyond the means of most farmers, the buffalo are again their only hope.
"It was HM the King who foresaw the danger of losing them, which puts farmers at the mercy of inflation and prolonged recessions.
"Many farmers now appreciate His Majesty's efforts and have gone back to using their natural partner."
"Each year, the group donates 200 buffalo to farmers under the Royal Water Buffalo Bank project, which buys buffalo destined for the slaughterhouse.
The initiative is conducted twice a year in Thailand: on Mother's Day and Father's Day.
Wanlop, 71, has spent the past three decades supporting more than 100 corporate-social-responsibility programmes, which includes presenting 150 scholarships to poor student a years.
He said the royal projects were of special importance because His Majesty's understanding of the problems of farmers went deeper than the superficial minds of some bureaucrats and politicians.
"I'm very frustrated by how slow the government works, even when issues such as energy and water shortages are clearly acute."
Water conservation, which should be easy to apply, is for several decades delayed because of slow action by state officials, he said.
"His Majesty had urged for the construction of irrigation canals like those built by King Chulalongkorn in Rangsit to prevent flooding, as well as the conservation fresh water supplies," Wanlop said.
The infrastructure, now a century old, has protected Bangkok and allowed it to prosper. But now, an increased populace and land subsidence demands building a second irrigation canal system.
"These canals cut across rivers, channelling water deep inland and prevent the wasteful discharge of vital fresh water supplies straight into the sea," he said.
"Whenever I ask bureaucrats why nothing is done, they say the World Bank does not fund canals, only dams.
"I'm constantly saddened bny corruption and inaptitude. The needs of the people should not be so shoddily ignored."
Wanlop is a close cousin of CP Group chairman Dhanin, who is ranked among Asia's wealthiest people by Forbes magazine.
"Our family members all share His Majesty's concerns and worthy causes," Wanlop said.
Wanlop and Dhanin are greatly influenced by the Christian schools they attended.
"I went to Assumption College, which was run by St Gabriel, and Sarasit Phittayalai, a boarding school run by the Salasian order.
"Both schools profoundly influenced me to make social contributions," he said.
Founded in 1921, CP employs more than 250,000 people worldwide.
Friday, September 11, 2009
China urged not to eat kangaroo meat
The father of dead Australian conservationist Steve Irwin urged China yesterday not to start importing kangaroo meat, warning it could wipe out huge stocks of the animal.
Bob Irwin made his plea after Australia's kangaroo industry began courting the giant Asian market in the wake of Russia's move to bar imports.
"We wouldn't eat your pandas, so please don't eat our kangaroos. Come and see them," Mr Irwin said.
Mr Irwin, whose "Crocodile Hunter"son was killed in a freak stingray accident in 2006, said kangaroos held more value as a tourist attraction than as meat with the country's stocks now "critical".
"The Chinese are one of our biggest visitors and kangaroos are one of their favourite attractions. If they were to start eating kangaroos, we predict that within a few years there won't be any left in the wild for them to see," he said.
Bob Irwin made his plea after Australia's kangaroo industry began courting the giant Asian market in the wake of Russia's move to bar imports.
"We wouldn't eat your pandas, so please don't eat our kangaroos. Come and see them," Mr Irwin said.
Mr Irwin, whose "Crocodile Hunter"son was killed in a freak stingray accident in 2006, said kangaroos held more value as a tourist attraction than as meat with the country's stocks now "critical".
"The Chinese are one of our biggest visitors and kangaroos are one of their favourite attractions. If they were to start eating kangaroos, we predict that within a few years there won't be any left in the wild for them to see," he said.
Friday, September 4, 2009
Millions of male chicks "ground up alive"
A US animal rights activists on Wednesday released a film in which thousands of discarded male chicks are shown being ground up while still alive - cruel treatment which they said is typical of the poultry industry.
"These young animals are sorted,discarded, and handled like mere cogs in a machine," said the animal activist group Mercy for Animals.
The group said it obtained the film during an undercover investigation at the Spencer, Iowa, hatchery, but said it shows the heartless treatment young chickens are subjected to across the poultry industry.
For its part, Hy-Line International said in a statement that its "number one priority is the care and safety of our birds and our employees".
"We have well-defined policies and procedures regarding poultry welfare and we are committed to meeting or exceeding all industry standards," the company said.
Hy-Line said it has launched an "immediate investigation of the entire situation"."If any violation of our animal welfare policies is found, the employee or employees involved will be disciplined per company policy, up to and including termination." Mercy for Animals said nearly 150,000 male chicks who hatch every 24 hours are separated from females, and, as they are unable to be raised for egg production, tossed into chutes which take them to their deaths.
"They are destined to die on day one because they cannot produce eggs and do not grow large or fast enough to be raised for meat," the group said."Their lives are cut short when they are dropped into a grinding machine" in which they are "torn to pieces"."Over 30 million male chicks meet their fate this way each year at this facility," Mercy for Animals said. The group called on US grocery chains to label eggs in their store with a label reading:"Warning - Male chicks are ground up alive."
"These young animals are sorted,discarded, and handled like mere cogs in a machine," said the animal activist group Mercy for Animals.
The group said it obtained the film during an undercover investigation at the Spencer, Iowa, hatchery, but said it shows the heartless treatment young chickens are subjected to across the poultry industry.
For its part, Hy-Line International said in a statement that its "number one priority is the care and safety of our birds and our employees".
"We have well-defined policies and procedures regarding poultry welfare and we are committed to meeting or exceeding all industry standards," the company said.
Hy-Line said it has launched an "immediate investigation of the entire situation"."If any violation of our animal welfare policies is found, the employee or employees involved will be disciplined per company policy, up to and including termination." Mercy for Animals said nearly 150,000 male chicks who hatch every 24 hours are separated from females, and, as they are unable to be raised for egg production, tossed into chutes which take them to their deaths.
"They are destined to die on day one because they cannot produce eggs and do not grow large or fast enough to be raised for meat," the group said."Their lives are cut short when they are dropped into a grinding machine" in which they are "torn to pieces"."Over 30 million male chicks meet their fate this way each year at this facility," Mercy for Animals said. The group called on US grocery chains to label eggs in their store with a label reading:"Warning - Male chicks are ground up alive."
CP pours Bt3 bn into Vietnam
The Charoen Pokphand Group has invested Bt3 billion for setting up a new integrated food production plant in Binh Doung, Vietnam, as part of its strategy to penetrate overseas markets. Sarasin Viraphol, the group's vice chairman, said the investment plan will include feed mill, integrated chicken business from farm to processed foods.
In the beginning, the production will cater to the domestic market. Exports will be considered later.
"Food production in the country has a bright future as CP Group has advanced technology for food safety standards compared with local investors," Sarasin said.
The company said the feed mill's production capacity will achieve 600,000 tonnes per year.
Meanwhile, pursuing its strategy of penetrating the Middle East market, the company has set up a special committee to study the possibility to increase exports to the region.
Sarasin said economies of countries in the Middle East will grow considerably as oil prices go up.
The market will have higher demand for food. The company aims to export fresh chicken, shrimp, and eggs to the market, he said.
It is expected that the feasibility study will be completed in a few months so that the firm can promptly start exporting many food products to the market.
So far, the company has signed a farming contract with Bahrain for supplying food products, he added.
Meanwhile, Charoen Pokphand Engineering will launch an innovative palm extraction dry-processed machine for farmers.
Nared Chin-Inmanu, assistant vice president of the company, said that it will be the first machine that has high efficiency to extract palm fruits with a lower percentage of crude palm-oil loss. The machine will be sold for Bt4.5 million with a production capacity of 1.5 tonnes of palm fruits per hour. The firm is expected to sell about 10 machines this year.
Nared said that the higher oil price will encourage farmers to grow more palm fruits next year. The plantation area for palm fruits will increase from 3 million rai to 3.5 million rai next year.
The new palm-oil extraction machinery will help promote the growth of the alternative fuel industry, he said.
In the beginning, the production will cater to the domestic market. Exports will be considered later.
"Food production in the country has a bright future as CP Group has advanced technology for food safety standards compared with local investors," Sarasin said.
The company said the feed mill's production capacity will achieve 600,000 tonnes per year.
Meanwhile, pursuing its strategy of penetrating the Middle East market, the company has set up a special committee to study the possibility to increase exports to the region.
Sarasin said economies of countries in the Middle East will grow considerably as oil prices go up.
The market will have higher demand for food. The company aims to export fresh chicken, shrimp, and eggs to the market, he said.
It is expected that the feasibility study will be completed in a few months so that the firm can promptly start exporting many food products to the market.
So far, the company has signed a farming contract with Bahrain for supplying food products, he added.
Meanwhile, Charoen Pokphand Engineering will launch an innovative palm extraction dry-processed machine for farmers.
Nared Chin-Inmanu, assistant vice president of the company, said that it will be the first machine that has high efficiency to extract palm fruits with a lower percentage of crude palm-oil loss. The machine will be sold for Bt4.5 million with a production capacity of 1.5 tonnes of palm fruits per hour. The firm is expected to sell about 10 machines this year.
Nared said that the higher oil price will encourage farmers to grow more palm fruits next year. The plantation area for palm fruits will increase from 3 million rai to 3.5 million rai next year.
The new palm-oil extraction machinery will help promote the growth of the alternative fuel industry, he said.
Tuesday, September 1, 2009
CPF WANTS TO SPONSOR PREMIER LEAGUE TEAM WITHIN THREE YEARS
Aiming to achieve global-brand status, Charoen Pokphand Foods (CPF) will adopt a sports-marketing strategy that includes plans to become a sponsor of an English Premier League football team within three years.
Asian representatives of Premier League club Liverpool have been in talks with a number of major Thai corporations including CPF, Singha and Central Group. The representatives presented a business proposal and outlined a range of potential benefits for the targeted partners.
Becoming a main sponsor of a Premier League team would give the CP brand global exposure, and the firm direct access to the football fans it has targeted.
Suphat Sritanatorn, CPF's senior vice president for marketing, said the firm is considering not only English teams but also clubs in Spain's La Liga and Italy's Calcio Serie-A. In England, CPF is interested in Liverpool, Manchester United, Arsenal, Manchester City and Everton.
The company must first consider many details, especially which team, league and division would create the maximum benefit for the company's CP brand, Suphat said.
Currently, the only Thai-owned brand to sponsor an English team is Chang beer, owned by the Sirivadhanabhakdi family, which has a deal with Everton. Chang last year extended the sponsorship deal for three years at a cost of ฃ8 million (Bt442.5 million).
"The company is in talks with interested football teams in the UK. We expect that the CP brand will become the main sponsor of a Premier League team within the next three years," said Suphat.
CPF is already a major sponsor of international boxing bouts and the Thai League football competition.
Suphat said CPF spends an average of Bt400 million to Bt450 million per year on marketing. Of the total, Bt180 million to Bt200 million is allocated to the domestic market and the remainder is for the export market.
The global economic crisis prompted the company to increase its marketing budget by 10 per cent to ensure sales targets are met. Total sales are set to reach Bt150 billion this year.
"During these tougher economic times, the company has had to increase its marketing budget to focus on brand-building. If we don't, our competitors will boost their market shares," Suphat said.
As part of the marketing plan, the company is expanding its CP Fresh Mart shops network. The company manages about 500 shops nationwide and plans to add 100 to 120 outlets next year. It aims to have 700 shops by 2011.
Due to the economic slowdown, CPF missed its first-half sales projection. However, it is hoped that the expected economic recovery will boost sales volume by 10 per cent and sales value by 8 to 10 per cent by the end of this year.
Suphat said CPF has had to reduce the retail price of CP brand products in the domestic market by 5 to 10 per cent due to fierce competition.
Asian representatives of Premier League club Liverpool have been in talks with a number of major Thai corporations including CPF, Singha and Central Group. The representatives presented a business proposal and outlined a range of potential benefits for the targeted partners.
Becoming a main sponsor of a Premier League team would give the CP brand global exposure, and the firm direct access to the football fans it has targeted.
Suphat Sritanatorn, CPF's senior vice president for marketing, said the firm is considering not only English teams but also clubs in Spain's La Liga and Italy's Calcio Serie-A. In England, CPF is interested in Liverpool, Manchester United, Arsenal, Manchester City and Everton.
The company must first consider many details, especially which team, league and division would create the maximum benefit for the company's CP brand, Suphat said.
Currently, the only Thai-owned brand to sponsor an English team is Chang beer, owned by the Sirivadhanabhakdi family, which has a deal with Everton. Chang last year extended the sponsorship deal for three years at a cost of ฃ8 million (Bt442.5 million).
"The company is in talks with interested football teams in the UK. We expect that the CP brand will become the main sponsor of a Premier League team within the next three years," said Suphat.
CPF is already a major sponsor of international boxing bouts and the Thai League football competition.
Suphat said CPF spends an average of Bt400 million to Bt450 million per year on marketing. Of the total, Bt180 million to Bt200 million is allocated to the domestic market and the remainder is for the export market.
The global economic crisis prompted the company to increase its marketing budget by 10 per cent to ensure sales targets are met. Total sales are set to reach Bt150 billion this year.
"During these tougher economic times, the company has had to increase its marketing budget to focus on brand-building. If we don't, our competitors will boost their market shares," Suphat said.
As part of the marketing plan, the company is expanding its CP Fresh Mart shops network. The company manages about 500 shops nationwide and plans to add 100 to 120 outlets next year. It aims to have 700 shops by 2011.
Due to the economic slowdown, CPF missed its first-half sales projection. However, it is hoped that the expected economic recovery will boost sales volume by 10 per cent and sales value by 8 to 10 per cent by the end of this year.
Suphat said CPF has had to reduce the retail price of CP brand products in the domestic market by 5 to 10 per cent due to fierce competition.
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