Cargill adds to animal nutrition business in Thailand

by Holly Demaree
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BANGKOK, THAILAND – Cargill’s animal feed and nutrition business is expanding its capabilities in Thailand by acquiring a feed mill in Prachinburi province in Thailand. This feed mill, established in 1996 through a joint venture between Sri Thai Foods and Beverages Co. Ltd. and Thai-Denmark Swine Breeding Co. Ltd., produces poultry and swine feed. Through the acquisition, the plant will now produce poultry and swine feed for Cargill’s customers based in Thailand.

“This plant is aligned to Cargill’s animal nutrition business growth plans and aspiration to provide the leading and most trusted livestock solutions that help our customers grow,” said Akkarit Boontawee, managing director of Cargill Feed and Nutrition South East Asia.

The feed mill has ceased production, and the plan is to begin production in a year. Once fully operational in May 2018, the plant will employ around 50 employees and produce 72,000 tonnes of feed per year for swine and poultry customers in the Eastern and Northeastern areas of Thailand. Given the large land footprint – 10 hectares or 24 acres – Cargill could expand the facility and add more local jobs as the market continues to grow.

“We are pleased Cargill has acquired the plant,” said Anan Jantaranukul, managing director Srithai feedmill Co., Ltd. “We are confident it will be a prosperous business that will serve Thailand’s poultry and swine farmers well.” 

This is the most recent expansion into the feed industry for Cargill. In early August, Cargill reached an agreement to acquire the animal feed business of Richmond, Virginia, U.S.-based Southern States Cooperative, Inc. Cargill expects the move will help it better serve its customers in the eastern United States.

In July, Cargill entered into a strategic partnership with Delacon, a leader in phytogenic feed additives. The companies said the partnership will advance the market presence of natural, plant-based feed additives on a global scale.

The partnership will connect Cargill’s expertise in applied nutrition and global presence with Delacon’s know-how and market experience in phytogenic feed additives, a category that uses natural ingredients, including herbs, spices, other plants and their extracts, such as essential oils, to improve animal performance and secure animal health for sustainable, wholesome food production.
 
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