Issue 30

A premium natural food producer aims to expand business in the AEC and the US by focusing on the health food segment.

“The health food trend is very strong now,” says Vittavat Phonphaisan, Vice President of Heritage Snacks and Food. Established in 1986, the company now operates in eight countries and exports to over 60 countries globally, producing and managing several brands that range from nuts, juices, dried fruit and berries to vermicelli and popcorn.

“We focus on natural food, natural snacks and natural drinks. Overseas, there is a dried fruit and nuts category, however, in Thailand dried fruit still tends to be sweetened or pickled,” says Phonpaisan.

One of the company’s most important products are cashew nuts, as the company is able to grow and process the nut themselves in Thailand. On the other hand, ingredients such as berries, macadamia nuts, walnuts and almonds are imported from various countries and processed at the company’s facilities before being sold either domestically or exported to other markets.

According to Phonpaisan, 65% of Heritage Snack and Food’s products are exported while 35% are sold in Thailand. “Our main export markets are ASEAN countries and the US, with the European market slowing down lately. The ASEAN market is doing extremely well, with strong growth and increasing stability,” says Phonphaisan.

Heritage Snacks is keen to expand its business, as it owns production plants and land in Thailand, Laos and South Africa, while keeping an eye on the emerging AEC market. “We want to expand and localise the company’s operations in AEC countries,” says Phonpaisan, as the company aims to create joint ventures in operating countries, with a recent partnership in the Philippines being their latest move.

The company also plans to branch out into the snack food, such as popcorn. “Last year we launched the WonderPuff Popcorn, a gourmet, homemade popcorn comparable to over-the-counter brands but sold in supermarkets. We want to sell good products that are inexpensive,” says Phonpaisan.

He believes that in the future manufacturers will increasingly focus on healthy food options, as customers are becoming more health-conscious. “Quality products do not have to be imported; we can produce them in Thailand,” he says. “You don’t need to just export Tom Yum Goong. Raw materials can be sourced anywhere then processed here. We can compete [with other countries] through better technology and better prices.”

In addition to producing ingredients for other food manufacturers, the company is looking to expand into manufacturing ingredients for home cooking and home baking as part of its overall plans to boost revenue. “We have a target to increase our growth by 30% compared to last year,” says Phonpaisan.

Words by Sirinuch Borsub