Malaysia: Top Fruits are expanding downstream route
Ideal strategic partners would be upstream durian plantation companies with access to raw material supplies or food manufacturers looking to diversify into durian-based products, Tan says. She adds that potential strategic partners could also help in expanding its upstream business by acquiring plantation land.
While the company welcomes advisors with the necessary match-up, Tan says it is important that current stakeholders maintain a majority control in Top Fruits to ensure continuity in the company’s operations and business direction. The company is planning to spend around RM30mil this year to expand its manufacturing and research and development capabilities. This will help in its endeavour to expand its range of products and increase sales.
Top Fruits has set up a subsidiary in Sarawak to help the state government set up the durian plantation industry and export of durian paste. Malaysia’s total export value for frozen durian and frozen durian paste last year was RM130mil, according to the Agriculture Ministry. The main export markets for durians and durian-based products include China, Singapore, Indonesia, Hong Kong, Canada, the US and Australia.
Source: thestar.com.my
