IDI Corp builds a new pangasius processing factory to meet increasing demand

News 07:57 15/04/2022
(seafood.vasep.com.vn) The new factory of IDI Corp with a capacity of 500 tons/day is expected to be built in the fourth quarter of 2022. Currently, IDI Corp has two factories with the capacity of 150 tons/day and 300 tons/day, respectively. The factories have been operating at full capacity but have not yet met customer demand in late 2021 and early 2022.

A product of IDI CORP

According to IDI CORP’S annual report, with the strong recovery of the pangasius market, the executive board will continue to implement the project of building the third Seafood processing factory with a capacity of 500 tons of raw materials/day. The factory is expected to be built on the company's available land fund in the fourth quarter of 2022.

With the COVID-19 situation basically under control, the global vaccination coverage has been high, most countries (except China) have started a new life with the policy of living with the epidemic, the world has opened its doors to import and export. This has helped the pangasius industry recover strongly since the end of 2021, even increasing sharply in the early days of 2022.

Currently, IDI CORP has two factories with the capacity of 150 tons/day and 300 tons/day respectively. Factories have been operating at full capacity but have not yet met customer demand in late 2021 and early 2022.

"That's why it is necessary to build Seafood processing factory No.3, for the stability and development of the Company in the future", according to IDI CORP.

This year, IDI CORP sets a target: net revenue reaches 8,300 billion VND, up 45% compared to 2021 and profit after tax reaches 900 billion VND, 6.3 times higher than the same period last year.

With the current shortage of supply, it is an advantage that enterprises own a large amount of inventory.

Mr. Le Thanh Thuan, Chairman of IDI CORP, said that the company had signed enough export orders until the end of the second quarter of this year.

At the same time, a stockpile of up to 1,400 billion VND of cheap pangasius (17,000 - 18,000 VND/kg) has also been prepared, especially in Mexico and Brazil - where IDI CORP accounted for large market shares.

Previously, besides completing Cold Storage No.3 with a capacity of 10,000 tons of finished products, in early February 2020, Cold Storage No. 4 with a capacity of 10,000 tons of finished products was put into use. This has overcome the situation of outsourcing, which significantly increased the tolerance against COVID-19.

This is a wise investment because at the beginning of 2021, the price of raw fish dropped to 18,000 VND/kg, the Company took the opportunity to purchase raw materials from outside the market to manufacture and store the finished products in the above two cold storages.

By the end of 2021, the fish price increased to 25,000-26,000 VND/kg, which helped the Company gain a significant profit.

Mr. Tuan also noted that the strong recovery of consumer demand in the main markets pushed the company into a situation of not being able to pay orders in time.

investment idi corp

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