Singapore’s Wilmar International has entered into a joint venture agreement with Vietnam’s leading local retailer, Saigon Co-op for the building of a $25.6 million sauce factory in Ho Chi Minh City that will produce sauces to be marketed under the brand name, Nam Duong.

 

Wilmar will supply US$13 million toward the venture and will hold a 51% in the venture to be known as Nam Duong International Foodstuff Corporation.

 

Launched in 1951, Nam Duong is a leading brand in Vietnam’s sauce and condiment sector including soy sauce, chili sauce, and tomato sauce, and the new factory will produce products for both the domestic and overseas markets including the U.S., Canada, and Europe.

 

The new facility created by the joint venture will take over the operations of an existing Saigon Co-op factory. Nam Duong International Foodstuff Corp. will leverage Saigon Co-op’s distribution strength and Wilmar’s extensive food technology research and development along with its global network to support production and export expansion.

 

Saigon Co-op controls the most modern and extensive retail network in Vietnam and has deep knowledge of Vietnamese consumers’ preferences. It was awarded the country’s Leading Retailer Award for 2015, was listed in the Top 200 Leading Retailers in the Asia Pacific, and Its marketing channels include the Co-op Mart supermarket chain, Co-op Food convenience stores, Co-op Xtra hypermarkets, Ben Thanh Store, the Co-op Store chain, and the SC VivoCity complex.

 

Founded in 1991, Wilmar International is Asia’s current leading agribusiness group and is one of the top companies listed on the Singapore Exchange by market capitalization. Wilmar is active in oilseed crushing, edible oil refining, sugar milling and refining, oleochemicals, specialty fats, biodiesel, grain processing, and fertilizer manufacturing.