Two establish joint venture in production of sauces and condiments.
The Saigon Union of Trading Cooperatives (Saigon Co.op) and Wilmar International Limited (Wilmar) signed a contract to establish the Nam Duong International Foodstuff Corporation joint venture on October 27, with Saigon Co.op holding 49 per cent and Wilmar 51 per cent.
Nam Duong will receive VND577.2 billion ($25.6 million) in investment to build a new facility at the Hiep Phuoc Industrial Park in Ho Chi Minh City’s Nha Be district, which will take over the existing operations of Saigon Co.op’s facility in the manufacture of sauces and condiments sold under the Nam Duong brand.
With the most extensive modern retail network in Vietnam, Saigon Co.op has intimate knowledge of Vietnamese consumers’ tastes and preferences in food, General Director of Saigon Co.op Mr. Nguyen Thanh Nhan said. “The combination of Saigon Co.op and the Wilmar Group’s strengths in the Nam Duong International Foodstuff Corporation will be a milestone in Vietnam’s consumer market,” he added. “The joint venture will introduce international health and production standards and global distribution networks to Nam Duong sauces and condiments, which are well regarded and rich in traditional taste.”
Country Head of Wilmar’s business operations in Vietnam, Cambodia and Laos, Mr. Ray Chew, was excited about the cooperation. “Leveraging each other’s strengths will allow Saigon Co.op and Wilmar to increase the reach of the Nam Duong brand and grow the sauces and condiments business significantly,” he said.
Established in 1951, the Nam Duong brand is among the leading brands in sauces and condiments in Vietnam, including soy sauce, chili sauce, and tomato sauce. The products are also being sold in export markets such as the US, Canada, and Europe, and are favored by overseas and Vietnamese consumers.
Saigon Co.op is well-known for its wide and varied distribution channels encompassing the Co.opmart Supermarket chain, Co.op Food convenience stores, Co.opXtra hypermarkets, Ben Thanh Store, the Co.op Store chain, the Sales Channel of HTVCo.op, Can Tho Sense City Commercial Centre, and the SC VivoCity complex.
Wilmar International Limited, founded in 1991 and headquartered in Singapore, is today Asia’s leading agribusiness group and ranked among the largest listed companies by market capitalization on the Singapore Exchange.