Mitsui & Co to invest in Vietnamese shrimp producer Minh Phu

Friday, May 17, 2019 12:12

A seafood processing line at Minh Phu Seafood Joint Stock Company. Mitsui will help Minh Phu to achieve further growth through the application of digital technology. — Photo

Japan's Mitsui & Co Ltd has agreed to acquire a 35.1 per cent of stake in Minh Phu Seafood Joint Stock Company, the world’s biggest shrimp integrator from farming and processing to sales.

Minh Phu owns two processing plants and shrimp farms covering a total of 900 hectares in southern Viet Nam. It has built a strong position by vertically integrating all stages from shrimp farming to processing and sales.

Minh Phu’s extensive range of products, including value-added products, is exported to around 50 countries, notably the US and Japan. The company now accounts for about 20 per cent of Viet Nam’s total shrimp exports.

In 2013, Mitsui invested in Minh Phu Hau Giang Joint-Stock Company (MPHG), a processing plant affiliated with Minh Phu. Since then, Mitsui has contributed to optimising management and operations of the company.

Mitsui will help Minh Phu achieve further growth through the application of digital technology including artificial intelligence (AI) in farming ponds and processing plants, and the enhancement of efficiency in shrimp supply chain from farming to marketing.

Mitsui has identified nutrition and agriculture as a new growth area under its medium-term management plan.

World demand for sustainable proteins is expanding along with population growth and the expansion of the middle class globally. Through this investment, Mitsui is expected to improve productivity, stability and sustainability of supply, while adding value to food products. — VNS

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