URC set to open Myanmar facility

SINGAPORE -- Universal Robina Corp., which manufactures the Jack ‘n Jill and C2 brands, is gearing up for the opening of its facility in Myanmar.

Michael Liwanag, vice president for corporate planning and investor relations at URC, told reporters  on the sidelines of Maybank’s Invest Asean 2014 event the firm’s Myanmar factory is seen becoming operational in a year’s time.

“We have already finalized the contract with the builder and in the coming months, we are starting the construction of the facility. I think it will take 12 months depending on how fast the builder is,” Liwanag said.

Liwanag also said the food giant has started selling some of its products in Myanmar specifically those manufactured in its Thailand factory.

“We have already appointed a Burmese distributor and we have started selling biscuits in Yangon and Mandalay,” Liwanag said.

So despite having the Myanmar factory under construction, people in the area are already being familiarized with the URC brands,” he added.

“We believe in the 60-million people there and it’s a low-income country with no strong snack foods company. The opportunity, really, is quite huge,” Liwanag said.

Myanmar authorities last year approved URC’s investment in their country, the newest market of the Gokongwei food firm. This venture is in line with the company’s aim of becoming one of the regional food giants.

“The vision of URC is really to become the largest Pan-Asian food company... Moving forward, our plan is to further scale up,” Liwanag said.

He noted that the firm is continuously expanding capacity for its snack foods, beverages, and other products here in the Philippines and abroad.

URC’s position in different Asian markets such as China, Indonesia, Malaysia, Vietnam, and Thailand puts in a very advantageous spot for the upcoming economic integration planned by the Association of Southeast Asian Nations (ASEAN) member countries.

“This presents opportunities for URC because of its footprint in different (Southeast Asian) countries,” Liwanag said.

The company has set aside $200 million for its capital expenditure this year, higher than its actual $130-million capex in 2013.

The firm earlier this week sealed an agreement with Calbee to manufacture and distribute the Japan food giant’s snack products in the Philippines.

Show comments