Thai Union Group announced it has signed a joint venture with R&B Food Supply (RBF) and Srinivasa Cystine Private Limited – an associate company of the shrimp-focused Avanti Group – to launch a new company to make and sell food ingredients in the Indian market.
The new company will lean on the “respective strengths” of the three companies in marketing RBF’s food-ingredient products, according to a Thai Union release. RBF is a leading Thailand-based foodservice provider specializing in flavoring, fragrance, food-coating products, and other food ingredient products, according to Thai Union.
“Bringing together RBF and Avanti Group is a testament to the power of partnership, and the mutual trust and respect among our partners,” Thai Union CEO Thiraphong Chansiri said. “With India’s food-export sector moving towards value-added, we see an exciting potential for food ingredients. Our combined strengths will accelerate the joint venture’s ability to serve this growing need. As a global food player, we will leverage our capabilities and network to support the joint venture going forward.”
The joint venture will have INR 100 million (USD 1.3 million, EUR 1.1 million) in authorized capital, and may eventually set up its own manufacturing facilities in India, according to Thai Union.
“This joint venture is the next step in the strategic alliance forged between RBF and Thai Union, and a further demonstration of the work being done to create mutually beneficial synergies,” RBF CEO Somchai Ratanapoompinyo said. “Utilizing Thai Union’s global platform, we were introduced to Avanti Group, which has a strong reputation and multi-decade track record in India. With our partners, we are confident in leveraging our extensive food-ingredients experience to produce innovative products tailored for Indian customers. This milestone delivers on RBF’s strategic direction to become a global player.”
Thai Union bought into Avanti Feeds’ frozen foods business in 2016, not long after Avanti earned a four-star Best Aquaculture Practices rating and soon after the two companies partnered on a new shrimp plant in India.
