Betagro MF Deli opens sausage plant in Thailand

Betagro MF Deli, a joint venture between Thai agribusiness company Betagro and Japanese processed foods maker Marudai Food, has opened a THB650m ($20.81m) sausage plant in Thailand.

The new plant, located in Lop Buri, will produce 600t of sausages and 200t of frozen cooked food per month for export primarily to Japan.

Betagro will supply pork and chicken for the plant, while Marudai Food, which holds a 20% stake in the venture, will support the plant by using its experience in the production of premium-quality ham, bacon and sausage.

Betagro chief operating officer Vasit Taepaisitphongse said the new plant is expected to post annual sales of THB2bn ($64.04m).

Cooked food products such as pork sausages on a stick will be exported to Japan, with convenience stores as main customers.

Betagro MF Deli, which was established last year to operate the plant, has a registered capital of THB250m ($8m) and received incentives from the Board of Investment.

The new sausage plant is Betagro’s fourth facility. Last year, Itoham Betagro Foods, a joint venture between Betagro, Japan’s Itoham Foods and Ajinomoto, opened a sausage facility in Lop Buri, Thailand.

The facility has a capacity to produce 5,000t of premium grade sausages a year with the bulk of production destined for Japan, while some sausages will be marketed domestically and exported to other South East Asian countries.

Betagro, which is involved in the businesses of animal feed production, livestock, and animal health products, plans to invest between THB3bn ($96.07m) to THB4bn ($128.09m) a year to strengthen its core businesses.

According to Betagro, new investments could raise its revenue from food businesses to 5% of the total company’s revenue.

The company, whose domestic sales represent 80% of the total revenue, expects a revenue growth of 13% to THB68bn ($2.17bn) this year.