Making Inroads into Dairy Cow Feed Business in Vietnam
Kanematsu contributed funds to Dalat Milk Joint Stock Company (Dalat Milk, "DM"), a Vietnamese dairy producer, and to enter into a business tie-up with DM for the supply of dairy cow feed. Kanematsu and DM will jointly establish and manage a factory for TMR dairy cow feed (the TMR Center) and undertake the production of corn silage and other feed products to expand both sales in Vietnam and exports.
It is expected that the consumption of dairy products in Vietnam will expand owing to an increase in demand for them as the diversification of foods advances while eagerness for consumption is seen among the younger generations and the Vietnamese economy grows.
Kanematsu has maintained the top share in sales of dairy cow feed in Japan for many years and has always made efforts to supply safe and secure high-performance feed in a stable manner. Through the business tie-up described above, we will supply forage, corn, soybean meal and other feedstuff with DM.
Kanematsu will contribute to the development of the dairy feed business in Vietnam through the improvement of milk production and quality by providing Japan's leading-edge dairy technology and also increase sales of daily cow feed and the production bases for feedstuff in the growth market in Vietnam.