Monday, May 30, 2011

3A ... May11

F&B ingredients maker Three-A Resources Bhd is riding on its enlarged local capacity and partnership with agribusiness behemoth Wilmar International Ltd in China, locally in spite of pressures on margins from runaway raw material costs.

The company expects momentum to pick up later 2011 as more of its expanded manufacturing capacity is utilized.

The construction of the multi-storey manufacturing plant in China, which is easily three times the size of Three-A’s operations in Malaysia, is on track for completion as early as the third quarter 2011. Jointly owned with Wilmar via Three-A (Qinhuangdao) Food Industries Co Ltd, the China plant is to manufacture F&B ingredients like hydrolysed vegetable protein (HVP), a food flavour enhancer found in various processed food such as soups, sauces, dips, dressings, seasoning and snack food, among other things.

Only RM4.14 million of the RM20 million set aside for the JV had been utilised in 2010. The remaining amount for overseas investment is expected to be fully utilized in 2011.

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