Philippines: San Miguel to invest $1.5 billion to enlarge its business
San Miguel, the Philippines’ largest food, beverage and packaging company, has announced a plan to invest as much as 75 billion PHP ($1.5 billion) to expand its food and drinks businesses, according to a report in Inquirer.Net.
The investment reportedly includes new processing plants for its Purefoods meat products business and new bottling lines for its beer business.
Commenting on the move, San Miguel president Ramon Ang said: “The reason we did not expand our food business before is because, at that time, we were seeing a slowdown in the demand for these products. But now, we see that our food and beverage lines and processed meat have very strong demand. That’s why we’re expanding”.
In additon to locally producing Spam branded canned meat products for export to south-east Asian markets, around 65 billion PHP ($1.3 billion) of the investment has been earmarked for capital expenditure, in particular for new production facilities for its hotdog, corned beef and luncheon meat products. The remainder has been set aside to establish a new brewery and bottling line for San Miguel Breweries in Mindanao.