by FoodBizDaily.com staff writer Bangkok
November 18 2009 - Mitr Phol Sugar Group, Thailand’s leading sugar manufacturer, is expanding its business in Laos to meet high demand from Europe.
Mitr Lao Sugar, a subsidiary of Mitr Phol Sugar Group, will invest US$49.3 million to increase its annual cane-crushing capacity in Laos from 400,000 tonnes to 1 million by 2011. This expansion will increase its sugar production from 44,400 tonnes to 120,000 tonnes as well.
Mitr Phol, vice president, Kromkrish Nagalakshana, said Laos is a production base for sugar export to Europe under the EU’s ‘Everything but Arms Agreement’. (This treaty grants duty and quota-free privileges to imports from the world’s least-developed countries.)
The Laotian unit is expected to generate $11.9 million -- mostly from export. The domestic market, however, is much smaller by comparison and accounts for only 5 per cent of the company’s total capacity.
The capital investment will be spent on new machinery and contract farming. The company is also negotiating with the Laotian government for a new land concession of 10,000 hectares for cane plantation expansion.
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Mitr Phol Sugar Corp., Ltd.
Address: 3rd Floor Ploenchit Center Building 2, Sukhumvit Road, Klongtoey, Bangkok 10110 Thailand
Telephone: (66) 02 656-8488
Fax: (66) 02 656-8494
About Mitr Phol Sugar Corp., Ltd.
With the long experience in the sugar and sugarcane industry for more than 50 years and the management’s vision, Mitr Phol Group To become the most widely known company in the sugar and bio-energy industries by applying innovative technologies and enhancing our management talent.