CJ CheilJedang announced on Oct. 22 that it had recently completed a feed factory at an industrial complex in Binh Dinh, located in Vietnam's South Central Coast region.
The Korean feed producer has invested US$13.6 million to build the plant, which can produce 72,000 tons of feed for cattle and pigs annually.
"With the completion of the Binh Dinh plant, we now have a total of six produciton facilities in Vietnam," CJ JeilJedang said. In January this year, the company completed the Ha Nam plant, its fifth feed mill in Vietnam.
The two new plants boosted CJ CheilJedang’s feed production capacity by about 400,000 tons to a total of 1.3 million tons a year.
Until now, CJ CheilJedang has built its plants in the northern and southern parts of Vietnam where there is relatively a high level of economic development and high demand for feed.
However, as demand for feed is expected to grow rapidly amid sustained economic growth in Vietnam, the company has built a new plant in the central region.
"Binh Dinh is the center of livestock feed and the food industry in central Vietnam," a CJ CheilJedang official said. "The province has great geographic advantages as it is close to a port and is the gateway to neighboring Laos and Cambodia."
CJ CheilJedang is planning to strengthen its distribution power by expanding the number of freight stations in southern Vietnam and build its own slaughterhouse to expand the infrastructure for its operation from pig production to slaughter, manufacture and sell.
The company established the Southeast Asia R&D center in 2013 to develop products tailored to local demand.
CJ CheilJedang has expanded its production base in Vietnam since it set up its first plant in 2001.