Itochu looks to take a bigger bite

March 15, 2011 | 12:37

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Itochu is likely to raise its stake in Phu Thai Group’s food distribution chain to 35 per cent by 2015 from current 15 per cent, Japan-based Itochu food division representative Shuichi Hoshi tells VIR.

Itochu reportedly grasped a 15 per cent stake in Vietnam-based Phu Thai Group’s food distribution chain. Why is the investment so minimal?

Caution is important in doing business though food distribution is an Itochu advantage.

The plan to penetrate the Vietnamese market was kick-started by Itochu from 2008 when it clinched a memorandum of understanding with Phu Thai Group. However, it took more than two years for our cooperation deals to get underway.

A number of the world’s big retailers have set foot in Vietnam. What is Itochu’s tactic in penetrating the market?

After reaching the decision to invest in the food distribution segment in the Vietnamese market, our management wants to tap into it.

Besides, we will later transfer the technology and modern food distribution management processes to fellow Vietnamese partners.

What is Itochu’s next step to expand its footprint in Vietnam?

One of our future plans is to lend a helping hand for made-in-Vietnam food, vegetables and fruits to carve a niche in the Japanese market.

By Khanh An

vir.com.vn

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