ThaiBev bullish on market ahead of 4bn baht expansion

The CEO of ThaiBev, Thailand’s largest alcoholic beverage company, has confirmed that the company will continue with its 4 billion baht (€105m) expansion, despite market uncertainty ahead of the country’s upcoming election.

The death of Thailand’s beloved King Bhumibol Adulyadej last month rocked the nation and cast market uncertainties, especially on alcohol after people were advised to refrain from drinking as part of a one-year mourning period.

Despite this, Thapana Sirivadhanabhakdi, group chief executive of ThaiBev, has insisted that the company will forge ahead with its plans to expand, believing that

“I believe Thailand will have a smooth transition regarding the monarchy and the upcoming general election,” Thapana Sirivadhanabhakdi, group chief executive of ThaiBev, said speaking to the Bangkok Post.

“2017 will be better than 2016 because the government will inject more money into the economy to boost local consumption and Asean will continue to have strong growth.” 

As part of its Vision 2020 scheme, which laid out plans from 2015 to 2020, the company, which also owns Chang beer, will spend the money to maintain its machinery and increase production capacity of its Crystal drinking water. The company has already set out its aim of becoming one of the biggest beverage companies in Asean by 2020.

In the meantime, the company is looking to expand overseas in neighbouring Vietnam, Cambodia and Philippines to generate sales. It plans to set up whisky-filling factories in Myanmar and Philippines after setting up a distribution company in Vietnam for its premium whisky and Thai white spirits, according to the report.

ThaiBev currently owns 39% of Thailand’s beer market share and 5% of the country’s soda water market.