Zest-O plans to expand in SEA, US

MANILA, Philippines - Beverage manufacturer Zest-O Corp. is looking to expand in Southeast Asia and in the US by putting up new plants within the next five years.

Zest-O Corp. chairman Alfredo Yao told reporters the firm has started exporting its products to Southeast Asian countries like Indonesia, Singapore and Thailand to gauge demand in these markets. 

Depending on which markets will have big demand, he said the next step would be to build manufacturing facilities.

“We will not only export but also put up plants because it (Zest-O) is a low-cost product. You cannot be really exporting from here because of the logistics. The export is just to try the water first,” he said. 

Apart from putting up plants in Southeast Asia, Zest-O is also looking at having a manufacturing plant in the US.

“There is a big market in the US. Our strategy there is to start with tropical fruits,” Yao said, adding that the firm can export mango and pineapple puree.

He also said Zest-O is looking at using a plant of Royal Crown Cola in the US for the manufacture of beverage products. 

“They (Royal Crown) has a plant which is not being used so we are looking at that. We are talking,” he said, noting that Zest-O can either use the facility under a lease agreement, purchase it or enter into a joint venture with Royal Crown.

Yao said he is also looking to expand his other beverage business ARC Holdings Inc.

Macay Holdings Inc., the investment vehicle of Yao, created ARC last year to be the owner of all assets of Asiawide Refreshments Corp.,which holds the exclusive license from RC Cola USA to distribute RC Cola in the Philippines, and Mega Asia Corp., operator of RC Cola bottling operations in the country.

Founded in 1981, Zest-O is behind products Zest-O juice drinks, Choc-O, Zesto fruit soda, and Zest-O Slice fruit drink.

Apart from the Philippines, Zest-O has a production plant in the Middle East.