NR Instant Produce Plc (NRF), the producer and distributor of vegetarian and plant-based food, plans to acquire a grocery and cash and carry store in London in the first half of this year as it completes its trading ecosystem from downstream to upstream.
Chief executive Dan Pathomvanich said the company is negotiating with owners of an Asian grocery and a cash and carry store in London with combined sales of US$36 million.
The company expects to complete the process of acquisition and start the operation of its "Bamboo Asian grocery store" in the first half of this year.
In addition, he said the company plans to build another three grocery stores of its own in London in the second half of this year.
"Opening Asian grocery stores with AI technology will provide a comprehensive platform that can reach a wide and direct target audience, drive sales of NRF products and enhance the competitiveness of Asian products in the European market.
"This platform will create opportunities for both large and small exporters to export their products to the European market through an intermediary," Mr Dan said, adding that the company aims to give consumers a new experience through online platform development, making it easier for them to access Asian goods and products.
"NRF is witnessing issues with exporting due to the lack of a platform to assist the industry with exports. Therefore, it is a great opportunity to develop and apply big data to enhance marketing, which can turn this challenge into an opportunity to support Thai farmers and exporters," Mr Dan said.
To achieve this, it develops online channels through e-commerce and extends to omnichannel comprehensively by creating and opening stores to sell Asian products. This solution will encourage the industry to join in addressing the issue of exporting and boosting the overall growth of the industry.
The expansion of its business into the retail sector is part of NRF's 2023 strategic plan to expand its business in three areas: developing an e-commerce platform, extending an omnichannel platform for Thai and Asian exporters who want to expand their business into the European market, and making the world more sustainable through business decarbonisation.
In addition to Asian grocery stores, the company will promote Sriracha sauce as a product champion for local consumers. This corresponds to the US chilli sauce market, valued at 101.2 billion baht, an increase of more than 33% compared to the previous year. The trend is growing continuously.
It also promotes pet food products in five leading markets, including the US, Japan, the EU, Australia, India and the Middle East.
The company also plans to promote its products in the modern trade channel in these countries, in line with the alternative protein pet food market. All the plans will require an investment of 500 million baht this year.
Mr Dan said with NRF's business expansion plan, the company aims to boost its sales to 3-4 billion baht in 2023, up from 2.3 billion baht last year.