The Vietnam Dairy Products Joint Stock Company (Vinamilk) announced a growth target for the next five years of 10 per cent annually, with a 70 per cent increase in average production capacity by 2021.

The company’s 2021 goal for total earnings is set at VND80 trillion (US$3.58 billion), 75 per cent of which will come from the domestic market ($2.73 billion) and 25 per cent ($851.5 million) from foreign markets.

Vinamilk’s expected 10 per cent growth rate per annum from 2017 to 2021 is considered on par or above the market average.

As for 2017, the milk company’s current revenue goal is VND51 trillion ($2.28 trillion), an increase of eight per cent from 2016, whereas the 2017 desired post tax income is VND9.7 trillion ($434.7 million), an increase of four per cent from the previous year.

The current average corporate income tax rate applied to Vinamilk in 2017 is 17.5 per cent, higher than the 16.7 per cent in 2016.

In the long term, Vinamilk plans to lead the domestic milk market, expand their market share especially in the frozen goods sector and develop new sales channels.

The company is also seeking investment opportunities through mergers and acquisitions in South East Asia, the United States, Australia and New Zealand.

Between 2017 and 2021, Vinamilk aims to harvest a total of 157,000 tonnes of milk from its farms, with an additional 251,000 tonnes from individual farmers.

Vinamilk released the targets in its report for the upcoming shareholders meeting for the first quarter of 2017, to be held on April 15. — VNS