Betagro

Editorial Staff

Betagro unveils pathway to become global food business leader moving to ramp up output, developing premium products, expanding overseas markets, targeting 5-10% sales growth

Betagro PCL (BTG) announced a strategic plan to become a leading international food brand with a ramp-up in production capacity to meet domestic demand and supporting overseas market expansion.

As part of the strategy, the company is also gearing up the development of value-added products and strengthening distribution channels to bolster its growing premium product portfolio. While pointing out that the prices of live pigs and broilers have begun to increase, BTG targets a sales increase of 5-10% to consolidate strength and sustaining continuous growth.

Vasit Taepaisitphongse, chief executive officer and president of BTG, said the overall food consumption in 2023 is likely to recover continuously after the Covid-19 effects began to ease.

There is an increasing demand from the country's reopening, resulting in the economic revival that has significantly spurred consumption. But there was some volatility in the short-term prices of pig at the period between the end of last year to the beginning of this year, caused by the smuggling of trimmed pigs and the increased weight of fattening pigs, thus affecting the swine price structure in Thailand. However, the current trend of swine prices has begun to show an upward movement and will return to a stable level with good supply management.

Meanwhile, the price trends and broiler exports are expected to move upwards as well in the second and third quarters as compared to the slowdown in the first quarter of 2023.

From those factors, Betagro has therefore formulated a strategy to drive its business towards becoming a leading international food business brand, building strength and achieving growth under four key strategies:

Continuously expanding production capacity to lay a firm foundation for production and strengthening the supply chain to support the domestic and international growth. The company will invest in new production plants and upgrading existing facilities to be more efficient to accommodate increasing sales opportunities.

Creating value-added products and distribution channels as Betagro focuses on introducing new product offerings to the food and protein-based market segments. These comprise chicken and swine products which will be instrumental to BTG's growth this year. It also aims to expand the ready-to-cook and ready-to-eat foods segment to support the hasty lifestyle of modern consumers, a behaviour that will result in a continued growth in demand. BTG hopes to see the ready-made food category to represent nearly 10% of its overall revenue in 2025, up from 5% in 2022.

At the same time, BTG will continue to expand its distribution channels that add value to its products -- modern retail channels, food service outlets, Betagro Shop and Betagro Deli stores to reach more consumers and creating continued growth.

Developing premium products by means of capitalising in on BTG's research and development centre and innovation hub to develop premium products in three business including food and protein business, pet and agro-business.

Expanding International business and overseas market by investing in Cambodia, Laos and Myanmar with the establishment of new factories and improving the existing facilities for better efficiency. BTG is also keen to jointly investing with entrepreneurs in Vietnam. Furthermore, the company continues to penetrate new export markets beyond more than 20 countries recorded last year.