April 26, 2006
BANGKOK, Thailand -- Cargill today announced that it has finalized the acquisition of the Chai Charoen Tapioca Flour Factory Company, Ltd in Borabu Mahasarakham, Thailand. The acquisition comprises all production assets of Chai Charoen.
Chai Charoen Tapioca Flour Factory Company specializes in developing and producing native tapioca starches primarily for the food industry, and has approximately 148 employees.
“This investment in Thailand will enable Cargill to better serve our customers in Asia with our full range of services along with the most complete product portfolio of any food ingredient player in the region,” said Gerrit Hueting, president of the Cargill Starches and Sweeteners business unit in Asia. “It will also position us well for future growth in the region to better serve both the industrial and food markets in Asia.”
“Our intention is to increase the capacity and add on modified food starches capabilities at this facility. These new capacities will be in addition to our already broad scope of food ingredients and food systems in Asia,” added Hueting.
“Cargill’s purchase of Chai Charoen Tapioca Flour Factory Co. is good news for this region of Thailand. Cargill has the technological know-how to further develop the business as well as direct access to global markets,” stated Mr. Panya Lekvijitada, the managing director of the company.
Mr. Lekvijitada added, “This is also good news for the employees of Chai Charoen as Cargill has a well established reputation in Thailand. Cargill has planned additional investments in the business that will lead to stronger growth of the business and provide more job security for the workers.”
“Chai Charoen’s starch is a top-of-the-line, quality product,” said Raza Hasnain, Cargill’s regional commercial manager. “We continually get requests from customers all around Asia who want reliable service and consistent quality tapioca starch. This facility positions Cargill extremely well to meet our Asia-Pacific customers’ requirements.”
“This is a good news not only for Cargill’s regional customers but also for local Thai tapioca farmers. As we increase the capacity and product range of the plant, we will need to buy more tapioca from local farmers,” stated Prasit Maekwatana, president of Cargill Thailand.
“Cargill has a lot of experience in working with Thai farmers through our existing businesses. We have helped Thai farmers increase crop productivity and grow healthier livestock through our fertilizer business, animal feed business, and poultry operations in Thailand. We will partner with local Thai tapioca farmers by bringing them the latest training and best global practices to their farms,” added Mr. Maekwatana.
|Bruce Blakeman, +65 6393-8704|
Chai Charoen Tapioca Flour Factory Company, Ltd is an enterprise established at the end of 1994. The company is currently specializes in developing and producing native tapioca starches primarily for the food industry, and employs approximately 148 employees.
Cargill is an international provider of food, agricultural and risk management products and services. With 142,000 employees in 61 countries, the company is committed to using its knowledge and experience to collaborate with customers to help them succeed.
Cargill started in Thailand in 1968. Cargill’s annual trade value with Thailand today exceeds US$ 530 million. Currently, Cargill sells animal feed ingredients, grains, oilseeds, steel products, fruit juices, and other commodities to Thailand while exporting cooked poultry products and Thai commodities such as maize, tapioca starch and sugar. Cargill operates in five provinces in Thailand. Projects range from poultry operations in Saraburi and Koraj to animal feed production in Koraj, Nakornpathom, Chachoengsao and Pitsanulok. Cargill employs over 7,500 people in Thailand.