Thai President Foods Plc, the manufacturer of Mama instant noodles, has disclosed plan to invest more than Bt 2 billion (US$56.4 million) over a 3 year period to expand its production capacity in order to meet rising demand in both domestic and overseas markets.
Of the total investment, Bt 1.6 billion (US$45.2 million) is slated for acquiring and installing 8 machines, while Bt 400 million (US$11.3 million) is for the purchase of land and construction of a new factory, said General Manager Pun Paniangvait.
The new factory will either be built on a 8 to 10 hectare plot of land located near the Mekong River in Nong Khai or Mukdahan, or within the Eastern Economic Corridor (EEC) in Chon Buri or Rayong.
Construction of the new facility is set to commence in 2025, with operations scheduled to begin in 2026. The new factory will have a daily production capacity of 600,000 packs, representing a 30% increase from the current output. This will support the company’s rapid demand growth for Mama products in both domestic and international markets.
Pun said, “This is the biggest investment the firm has made in 2 decades.” It is also allocating an extra Bt 200 million (US$5.64 million) to install new machinery at its Rayong factory in 2024. The company is also boosting its production efficiency by installing new smart instant noodle equipments at its facilities in Rayong and Lamphun.
Currently, there are 8 Mama noodle factories at present. Four are located in Chon Buri, Rayong, Lamphun and Ratchaburi. These factories have a combined production capacity of 180 million packs and 36 million cups per month.
The company also plans to expand its global presence as it aims to raise overseas sales contribution from 30% to 50%. It currently exports to 68 countries. Pun added, “The Chinese market is of particular interest because of the growing trend among Chinese consumers to purchase more Thai food products as souvenirs.” Other potential growth markets include Europe, America, India and Africa.
It is also planning to launch new products in meeting the dynamic needs of its consumers.
In 2023, Thai President projects a 4% growth in sales to Bt 25 billion (US$705 million). It forecast a 5-7% increase in sales in 2024.
