Calpis to form joint venture in Thailand

JIJI

Lactic drink maker Calpis Co. will establish a joint venture in Bangkok this month to produce and market its products, parent Asahi Group Holdings Ltd. said Thursday.

Calpis and Osotspa Co., a Thai maker of drinks and sundry goods, will jointly set up Calpis Osotspa Co. with an investment of 360 million baht. Calpis will hold 60 percent of the new company and Osotspa the rest.

The new company plans to start sales of Calpis products this summer while outsourcing production until a new plant can get up and running in 2014.

Calpis operations in Thailand hit a snag in 2011 when a local beverage plant run jointly with former parent Ajinomoto Co. was damaged by severe flooding.

The change in parent firms in 2012 has delayed efforts by Calpis to resume Thai output.