Thailand
Thailand: Saha Group keeps focus on Myanmar
Bagan: Saha Group, Thailand’s largest consumer goods conglomerate, has vowed to continue investing in neighbouring countries like Myanmar, where it is scheduled to run a new Mama noodle factory in Mandalay starting this year.
Chairman Boonsithi Chokwatana said Myanmar is a high-potential market as indicated by the company’s sales, averaging 20% growth during 2015-16.
In addition, Myanmar is potentially a gateway to India, Bangladesh and China, he added.
“We’ve now invested about 2 billion baht in Myanmar, with the second Mama factory in Mandalay scheduled to kick off production this year. Our first factory in Yangon is now running at full capacity,” said Mr Boonsithi. Saha Group, through its subsidiary Thai Wacoal, also operates a lingerie factory in Myanmar.
“Although infrastructure and logistics systems in Myanmar have yet to be developed, Myanmar now offers very high investment potential because the new, democratically elected government has boosted confidence among foreign investors,” he said. “Many Japanese are now investing there, especially in the Thilawa Industrial Estate, where 38 Japanese factories are located.”
Mr Boonsithi predicts a freer flow of goods to China, India and Bangladesh if the logistics system in Myanmar is developed.
He said Saha Group has already invested 1 billion baht in Cambodia and 500-600 million in Laos. The group also plans to expand its 10-year-old Mama factory in Cambodia.
At home, Mr Boonsithi said he is fully confident in the economic prospects for this year, with private investment expected to recover.
“I’m confident the Thai economy will fare better than last year, as private investment is expected to recover after government reforms in many areas. The Pracha Rat public- private collaborative policy is also set to help generate more income for poor people in remote areas and reduce income disparity,” he said.
Mr Boonsithi further hailed the cabinet’s recent approval of a Finance Ministry proposal to extend a tax measure promoting domestic investment for another year, until Dec 31, 2017. The measure offers double deductions for investment expenses from corporate income tax for private-sector investment.
Source: http://www.bangkokpost.com/business/news/1194697/saha-group-keeps-focus-on-myanmar