Nichirei to set up joint Thai venture

Kyodo

Major food maker Nichirei Corp. said Thursday it has agreed with SCG Logistics Management Co. of Thailand to set up a joint venture near Bangkok in June to provide temperature-controlled logistics services in Thailand.

The venture, SCG Nichirei Logistics Co., will be owned 51 percent by SCGL and 49 percent by Nichirei’s wholly owned arm Nichirei Logistics Group Inc.

It will start services in September and establish a refrigerated warehouse near a port in the Thai province of Sumutprakarn by July 2014.

Demand for temperature-controlled logistics services is expected to expand in Thailand as its economy grows, Nichirei said.

SCGL is a group company of Siam Cement Public Co., partially owned by the Crown Property Bureau Group with ties to the Thai royal family.