Bangkok--1 Oct--Aziam Burson-Marsteller
Theppadungporn Coconut Co., Ltd., producer and distributor of processed agricultural products for export under the Chaokoh, Mae Ploy, and Yoddoi brands, announced the company is launching two new product lines of boxed UHT coconut cream and boxed UHT coconut water, with an investment of 300 million baht. These two product lines will be positioned in the premium space and feature the rich and creamy texture of fresh coconut cream, and the high-Potassium coconut water that is suited to be a ‘natural mineral water’. They are expected to boost the company’s exports by 20%, and causing full -year sales to exceed their target. Full capacity production will be realized in early 2015.
With the growing demand for ready-to-use coconut cream products and healthy drinks in the global market, Chaokoh decided to introduce its new 1000 ml. and 250 ml. “boxed UHT coconut cream” and 1000 ml. and 330 ml. “boxed UHT coconut water” under the Chaokoh brand. Production commenced in the 3rd quarter of 2014 and will reach full capacity in 2015.
Mr. Apisak Theppadungporn, Managing Director of Theppadungporn Coconut Co., Ltd., stated the two product lines were added in response to global demand, especially among the company’s existing customers who want to have premium UHT coconut products for the bakery and processed food industry. Businesses need richer and creamier products that are similar to fresh coconut cream, something that has been unavailable in the market. Also, coconut water, which is considered as natural healthy and refreshing mineral water, is gaining increased popularity overseas. Therefore the company has added a UHT coconut water line, to its existing canned coconut water.
The two new products are under the Chaokoh brand, which is geared for export to the U.S.A. and EU as its main markets. The coconut water will be targeted at health conscious people as well as the fitness business, which is selling coconut water as a refreshing drink to replenish hydration after exercise. This is in line with UN’s Food and Agriculture Organization (FAO’s) promotion of coconut water as sports drink because it contains sodium and other necessary minerals, including high levels of potassium and glucose, which can be easily absorbed into body.
“Initially the production of UHT coconut cream and UHT coconut water will be running at 30,000 tons/year, or 60% of maximum capacity. Once the production lines are running at full capacity and producing 50,000 tons/year in 2015, we will have 20% more products ready for export, and that will help to drive total sales to exceed our forecasted target” Mr. Apisak said and added “This year we expect 10% sales growth, or total sales value of 5,000 million baht. As of the end of 2Q/2014, we have already achieved the half-year target or 2,500 million baht. Therefore once we have more products and can actively penetrate the market by the end of this year, we expect it will not be difficult to drive sales close to 5,300 million baht, or a growth of 15%. This target, if achieved, will be the highest sales amount we’ve ever had.”