Category: Food

Retail News Asia is committed to providing both local and global retailers with the latest Food and Food & Beverage news throughout the Asian market. This on a daily base.

  • Dairy Farm to sell its Malaysian grocery business

    Dairy Farm to sell its Malaysian grocery business

    Dairy Farm International Group (DFI) is disposing its grocery venture in Malaysia, which includes the supermarket chain Giant, for an unspecified figure after having operated in the country for 24 years.

    The retail group, based in Hong Kong and listed in Singapore, has inked an agreement with a group of Malaysian business people headed by Datuk Andrew Lim Tatt Keong, who is both the deputy chairman of Sogo Department Store and executive chairman of the Gama Group.

    The switchover is anticipated to be finished by next month and the new owner will take over 2500 staffs from Giant, Cold Storage and Mercato grocery businesses.

    The Edge Markets suggested that the agreement could be worth “at least a couple of billion (ringgit)”.

    DFI entered Malaysia in 1999 by obtaining a 90 percent stake in Giant via its subsidiary GCH Retail. The subsidiary registered a net loss of US$23.4 million in 2021 with store numbers being cut to less than half of the pre-Covid period.

    “By uniting these companies under experienced local leadership, we have laid the foundations for them to continue growing and contributing to the Malaysian economy,” the company said.

  • Starbucks Unveils Innovative Olive Oil Coffee Brew

    Starbucks Unveils Innovative Olive Oil Coffee Brew

    It’s no secret that Starbucks is constantly looking for ways to innovate and stay ahead of the competition. Recently, the global coffee giant has unveiled its newest innovation – an olive oil coffee brew. This new brew has taken the coffee world by storm and is gaining a lot of attention from coffee enthusiasts around the world.

     

    Starbucks is one of the world’s largest coffee chains, with over 30,000 locations in 80 countries. Founded in 1971, Starbucks is known for its high-quality coffee and innovative drinks. It is also known for its commitment to sustainability and ethical sourcing.

    The recent launch of Starbucks’ olive oil coffee brew has been met with excitement from coffee lovers around the world. This new brew is made with a combination of coffee and olive oil, creating a unique flavor that is completely different from traditional coffee.

    The combination of coffee and olive oil in Starbucks’ new brew provides a number of benefits. Firstly, it is packed with antioxidants, which can help protect your body from free radicals and reduce inflammation. Additionally, the olive oil adds a rich, buttery flavor to the coffee, which is sure to be a hit with coffee lovers.

    Furthermore, the combination of coffee and olive oil can help to increase energy levels and mental clarity. This makes it the perfect choice for those who need an extra boost throughout the day. Finally, the olive oil coffee brew is naturally low in calories, making it a healthier alternative to sugary coffee drinks.

    The olive oil coffee brew is completely different from traditional coffee. Firstly, it is made with high-quality, cold-pressed extra virgin olive oil. This adds a unique flavor and aroma to the brew that is unlike any other coffee.

    Secondly, the olive oil adds a rich, buttery texture to the coffee, which is sure to be a hit with coffee lovers. Finally, the olive oil coffee brew is naturally low in calories, making it a healthier alternative to sugary coffee drinks.

    starbucks plans to continue to expand the reach of its olive oil coffee brew. The company plans to open more locations that serve the olive oil brew and also plans to release additional flavors in the future. Additionally, Starbucks plans to use the olive oil brew as a way to introduce customers to other products, such as its cold brews, espresso drinks, and tea lattes.

  • Finance ministry again moots tax on sweetened beverages

    Finance ministry again moots tax on sweetened beverages

    The Ministry of Finance is again considering imposing a tax on sweetened beverages eight years after failing to get other ministries’ backing for it.

    A “reasonable” special consumption tax on sugary drinks would help protect people’s health in line with the World Health Organization’s recommendation and international practice, it said.

    Consumption of sweetened beverages in Vietnam had surged by nearly eight times between 2002 and 2018 to 50.7 liters per person per year.

    Surveys by the National Institute of Nutrition in 2001-10 and 2011-20 found the overweight children rate rising quickly in urban and rural areas.

    In 2012 15 countries were imposing a tax on sweetened beverages, but by 2021 it had risen to 50, including six in Vietnam’s neighborhood: Thailand, the Philippines, Malaysia, Laos, Cambodia, and Myanmar.

    “WHO recommends that governments take actions to encourage people to consume healthy food, including using tax measures on sugary drinks to orient consumption,” the ministry said.

    In 2014 the ministry had proposed a 10% special consumption tax on sweetened beverages, but other ministries opposed it. The Ministries of Planning and Investment and Justice said the argument for the tax was not convincing, and the Ministry of Industry and Trade said it could have a negative impact on businesses.

    The finance ministry is also considering hikes in the special consumption tax on beer and other alcoholic beverages and cigarettes.

    Between 2016 and 2019 it had increased the rate on beer and certain alcoholic beverages from 55% to 65% and on cigarettes and cigars from 70% to 75%.

    But the hikes do not seem have had much effect, the ministry admitted.

    Vietnam remained the biggest beer consumer in Southeast Asia and third biggest in Asia. In 2019 an average person consumed 47.6 liters a year, 20% more than in 2015.

    In 2020 around 42.3% of Vietnamese men smoked, while the government’s target had been to bring it down to 37%.

    But the country’s taxes on alcoholic drinks remain lower than in other countries, and account for only 30% of retail price compared to 40-85% elsewhere, according to WHO.

    On cigarettes, the rate is 35% compared to 70% in Thailand, 69% in Singapore, 57% in Malaysia, and 51% in Indonesia. It is as high as 80% in France and 75% in Germany.

    Another reason for the ministry’s proposal to increase the tax is that prices of alcoholic drinks have been rising slower than average incomes.

    In 1998 it had taken a person 8.2% of their annual income to buy 10 liters of Vodka Hanoi, but by 2014 the ratio had dropped to 2.2%. In the case of red wine, the rate had dropped from 5.9% to 1.6%.

  • Oversupply fears as Mekong Delta farmers switch en masse to durian

    Oversupply fears as Mekong Delta farmers switch en masse to durian

    Rice farmers in the Mekong Delta have been switching to durian on thousands of hectares of lands despite warnings the soil is unsuitable and there will be oversupply.

    Tran Dang Khoa in Long An Province in the delta is busy preparing to harvest his durian crop he has sold to a trader at VND150,000 ($6.32) per kilogram.

    The 32-year-old man borrowed from banks five years ago to plant the fruit trees on a part of his 3.5-hectare rice farm. He invested VND1 billion to plant over 150 durian trees, which are now nearly ready for harvest.

    “One hectare can produce 15 tons of fruits, and I can earn an income of over VND1 billion,” he said, pointing out that was 10 times the income he would get by growing rice on his whole farm.

    In the neighboring province of Tien Giang, Nguyen Van Dong gets up early every day to fertilize his four-year-old durian trees that will be ready for harvest next year.

    He too used to farm rice, but it fetched him VND20 million a year. When jackfruit prices rose, he switched to it, but prices plunged due to oversupply and he suffered losses.

    He switched to the fruit with durian prices rising relentlessly in recent years.

    “I have 200 trees and invested VND800 million in the farm, part of it borrowed from banks.”

    In the last three years the area under durian in Tien Giang has expanded by 21% to 17,600 ha. Neighboring localities such as Can Tho City and Hau Giang Province have been witnessing a similar trend with thousands of hectares of durian added in recent years.

    The Ministry of Agriculture and Rural Development planned to have 75,000 ha of durian by 2030, but the figure has already exceeded 80,000 ha and is increasing.

    Nguyen Bao Ve, former head of agriculture studies at Can Tho University, said warned about unsuitable soil and low yields.

    Tan Phuoc District in Tien Giang has for instance acid sulphate in the soil, and it would cost farmers a lot of money to make the soil suitable for growing durian, he said.

    Tien Giang, Long An and Dong Thap provinces frequently suffer flooding and growing durian there without building dikes could lead to losses, he warned.

    Vo Huu Thoai, head of the Southern Horticultural Research Institute, said farmers used to replace rice with jackfruit when the latter’s prices rose and chop them down when prices dropped. The same thing happened with orange and is now happening with durian, he said.

    “Of the 80,000 hectares of durian in Vietnam, only 5% are approved for imports by China, and this poses a great risk to farmers.”

    In the long run the government needs to impo

  • China begins large purchase of Vietnamese tra fish

    China begins large purchase of Vietnamese tra fish

    A Chinese trader has imported 500 containers of tra fish weighing 12,000 tonnes from Vietnam right after China lifted its zero-Covid policy, showing a positive signal for the sector this year.

    China is the second biggest importer of Vietnamese tra fish, after the U.S. Last year, Chinese traders bought nearly 300,000 tonnes of the fish from Vietnam, with a total value of more than $700 million.

    Notably, the current price of fillets exported to this market ranges from $3.5 to 3.6 per kg – the best export price of this product – in the context of the global economic downturn.

    Vietnamese tra fish is now exported to 138 countries and territories worldwide.

    About 350 tra fish-raising establishments in the Mekong Delta region with a total area of nearly 3,120 ha have been certificated to meet Vietnamese Good Agricultural Practices (VietGAP) standards.

    According to the Vietnam Association of Seafood Exporters and Producers (VASEP), this year, tra fish exports are expected to surpass $2.4 billion – a record high set in 2022.

  • Shrimp exports fall by half in January

    Shrimp exports fall by half in January

    Shrimp exports plummeted by 55% year-on-year in January to US$141 million due to weaker global demand and stronger competition from other countries.

    According to the Vietnam Association of Seafood Exporters and Producers, exports to the U.S. were worth $23 million, down 65%, the sharpest decline among all markets.

    Shipments to the EU were down 55% to $24 million. Vietnam’s largest market, Japan, imported $29 million worth of shrimp, a 47% decline.

    A major reason for the fall in exports was that demand in the EU was weaker because of the impact of inflation and uncertainties related to the Russia-Ukraine conflict.

    Vietnam also saw heightened competition from rivals such as Ecuador and China.

    Shrimp exports would face a lot of challenges this year due to the unfavorable global economic situation, which would drive down demand, and high inventories in many markets, the association said.

    Exporting to Japan is becoming increasingly difficult because of the high hygiene, safety and sustainability standards the country has, it said.

    However, China’s reopening in January would help the Vietnamese fisheries sector realize its export target of over $10 billion this year, including $4 billion worth of shrimps, it added.

  • Panda Express introduces first drive-thru store in Asia

    Panda Express introduces first drive-thru store in Asia

    Get ready to enjoy delectable American-Chinese cuisine, even while on the road. Panda Express—the world’s largest American Chinese dining concept–finally opened its first drive-thru restaurant in Asia with the launch of its Sumulong Highway branch. The latest store—located at Toyota Avenue corner Sumulong Highway, Marikina City — also marks the 100th international restaurant.

    “We are excited to open the first Panda Express drive-thru store in Asia, allowing even more guests to experience our American-Chinese cuisine,” said Doug Stalgren, vice president of Panda Express International. “Our global Panda Family is thrilled to be celebrating this milestone with our Filipino guests who have shown us so much love since the opening of our first store in the country in late 2019.” In 2019, Jollibee Group formed JBPX Foods, Inc., a joint venture with Panda Restaurant Group, Inc. (PRG) to bring the iconic US restaurant brand to the Philippines. The latest store opening is part of JBPX Foods, Inc.’s plans to open more stores across the country in response to guests’ demand for savory Panda Express dishes.

    Panda Express continues to offer a variety of entrées with Chinese influences with its latest Sumulong Highway store, including the bestselling dish, The Original Orange Chicken, a wok-tossed crispy chicken coated in sweet tangy sauce; and Honey Walnut Shrimp, a mouth-watering entrée made with premium crispy shrimp wok-tossed in a honey sauce and topped with glazed walnuts.

    A long queue of cars welcomed the opening of the drive-thru and lined up as early as 5 a.m. to order their Panda Express favorites. The first 100 drive-thru guests received limited-edition Panda Bear, and those with minimum order value of P500 got a free pail of Medium Orange Chicken.

    Dine-in customers also waited in line as early as 8 a.m. to get a taste of their favorite Panda Express dishes. As a special treat, the 100th dine-in guests, Marian Amurao and Bryle Lukban, received a pail of Giant Orange Chicken.

    “I’m really happy a new Panda Express store has opened near me. I’ve always been a fan of the Original Orange Chicken and its Honey Walnut Shrimp,” said Amurao.

    As a special treat during the Panda Express store opening in Sumulong Highway, the 100th dine-in guests, Marian Amurao and Bryle Lukban, received a pail of Giant Orange Chicken.

    “Since Panda Express opened its first store in Megamall, I have always craved for their dishes. Now that we have it near our place in Marikina, it’s really nice that I can order my favorite Panda Express meals anytime, either via drive thru or by dining in,” Lukban shared.

    To date, Panda Express is operating in over 2,400 locations worldwide, with stores in the Philippines, Canada, Guatemala, Japan, Mexico, El Salvador, South Korea, and the United Arab Emirates.

  • Gelatissimo opens stores in Thailand, Singapore, Hawaii

    Gelatissimo opens stores in Thailand, Singapore, Hawaii

    Australian gelato chain Gelatissimo has opened five new stores – including in Thailand and Singapore – taking its international store network to 70.

    One store has opened in Sunny Laguna in Phuket, Thailand, another in Hawaii’s Royal Hawaiian Center at Waikiki and a third at Jewel Changi Airport in Singapore. In Australia, the company opened stores in Rhodes, NSW, and Highpoint, Victoria.

    The overseas stores will feature unique, locally inspired flavours such as the Phuket exclusive, Mango Sticky Rice and the Hawaiian Pina Colada along with its core flavours served globally.

    Gelatissimo CEO, Braeden Lord, said the refreshed brand and store experience creates a “destination for locals” to make memories.

    “We are so proud to be achieving all our expansion plans both in Australia and overseas and this year has plenty more openings and new launches in the pipeline,” he said.

    All new locations will feature Gelatissimo’s contemporary new store design which combines gelato’s Italian heritage and the brand’s Aussie roots.

  • Smiths x Mad Mex launch limited-edition hot-sauce nachos

    Smiths x Mad Mex launch limited-edition hot-sauce nachos

    Mad Mex is rolling out a limited-time menu item, the Double Crunch Hot Sauce Nachos, starting on Tuesday, February 21.

    The new item puts a spin on the classic nachos recipe by using Smith’s x Mad Mex Hot Sauce chips and is expected to be popular among spice-loving customers.

    “We’re excited to take our collaboration with Smith’s into our restaurants and have developed this killer ‘mashup’ menu item.” Mad Mex CEO and Founder, Clovis Young said expressed his enthusiasm for the collaboration with Smith’s.

    Fans can grab the Double Crunch Nachos at any Mad Mex location in Australia until 20 March 2023.

  • Vietnam rice exports to Taiwan continue to rise

    Vietnam rice exports to Taiwan continue to rise

    Vietnam’s rice exports to Taiwan rose by 18.5% last year as quality improved and prices were competitive.

    It shipped 20,281 tons worth over US$10 million, accounting for more than 16% of Taiwan’s imports, the third highest market share.

    In recent years Vietnam’s exports of high-grade rice to the market have been steadily increasing as its prices are lower than Thailand’s, Taiwan’s second-largest source of imports at 23,042 tons.

    But Thailand’s exports declined by 20% last year. Vietnam’s sticky rice exports to Taiwan exceeded those of the U.S. and Thailand.

    Overall, Vietnam exported more than seven million tons of rice worth $3.5 billion to the global market last year.

    It was sold in European supermarkets for the first time.

  • Seafood exporter Minh Phu reports surge in profits

    Seafood exporter Minh Phu reports surge in profits

    Minh Phu Seafood Corp., a leading shrimp exporter, reported consolidated after-tax profits of nearly VND840 billion (US$35.6 million) last year, up 27% from 2021 and its highest since 2015.

    Its revenues rose by 20% to VND16.43 trillion.

    According to the Vietnam Association of Seafood Exporters and Producers, shrimp exports were worth a record $4.3 billion last year after rising by 11% on high demand and high prices in the first half.

    In the second half high inflation in major economies affected demand, and exports declined.

    In 2022 shrimp exports to China grew by 61%.

    Vietnam’s shrimp exports to it are expected to continue to surge this year after China’s reopening.

  • Chinese tea chain Mixue opens its first Australia outlet

    Chinese tea chain Mixue opens its first Australia outlet

    Chinese tea chain Mixue has launched in Australia, opening its first store in Sydney’s World Square shopping centre.

    Two more locations are imminent in Brisbane and Melbourne.

    The Sydney store features floor-to-ceiling windows spanning an entire wall and red steel frames.

    A marketing campaign by Mixue offering “1000 Sydney students to have a drink for free” was launched for the brand’s Sydney launch. Mixue said that although the pricing will be different to that in its home market, the quality will not change.

    Founded by Zhang Hongchao in 1997, Mixue Ice Cream and Tea opened its first overseas store in Vietnam in 2018 and currently has 600 stores in 11 Asian countries and 21,000 stores in China.

    With several milk tea companies expanding into the market during the past two years, Australia is a promising destination for the sector.

    Global milk tea giant Gong Cha last year said it planned to add 17 new stores to its existing 118 locations in Australia and both Gotcha and Chatime recently said they planned to prioritise the market.

  • Japanese restaurant chain Zensho to buy Lotteria Japan

    Japanese restaurant chain Zensho to buy Lotteria Japan

    Sukiya beef bowl chain’s operator, Zensho Holdings, is to acquire burger franchise Lotteria Japan from Lotte Holdings for an undisclosed sum.

    The deal is expected to be completed on April 1.

    Entering Japan in 1972 with the first store opened in Tokyo’s Nihonbashi, Lotteria had 358 stores across the country as of January 1.

    Zensho Holdings said it has decided to acquire the shares based on the judgment that the synergistic effect of its mass merchandising system and wide range of food business will contribute to the future expansion and development of Lotteria’s business.

    The deal is part of an operational restructuring by South Korea’s Lotte Holdings.

    “We believe this is the best option for Lotteria to pursue new growth,” Lotte Holdings said in an announcement.

    The company said the Lotteria brand will continue for a certain period after the transfer of the shares but the new owners may rename it in the future.

    As of March 31 2022, Zensho Holdings managed and developed 10,078 restaurants, with sales of about US$4.9 million. Its portfolio of brands includes Sukiya, Big Boy, Nakau, Victoria Station and Jolly Pasta. The company previously operated US burger chain Wendy’s restaurants’ in Japan.

  • International Fruit prices drop by half

    International Fruit prices drop by half

    Oranges, coconuts, and wax apples are sold at VND1,000-7,000 (4-29 U.S. cents) per kilogram at farm, half the prices compared to a month ago.

    In Ho Chi Minh City these days, vendors are selling king oranges at VND7,000-20,000 per kilo, depending on the size and quality of the fruit, along the sidewalk, on mobile trolleys or in wet markets. The prices have decreased 50%.

    Coconut is being sold at VND5,000-8,000 per fruit, pomelo VND8,000-15,000 per kilo, wax apple VND10,000-15,000 per kilo, down 30-50% compared to two months ago.

    Dat, who owns a one-hectare king orange farm in Tra On District of the Mekong Delta’s Vinh Long Province, said traders have bought his family’s oranges at VND4,000-5,000 per kilo and for this crop, he has lost almost VND100 million (US$4,228).

    The loss mainly comes from the cost of fertilizers and drugs, and yet to include the efforts.But he said “for those that have to rent land to grow oranges, the loss would even double.”

    Wax apples farmers in An Phuoc Commune, Long Thanh District of Dong Nai Province which borders HCMC said they are suffering “heavy losses” as the fruit’s prices sold at farm fall sharply to VND6,000-7,000 per kilo.

    In Ben Tre Province, Vietnam’s coconut kingdom, prices of dry coconut have also halved compared to the same period last year and farmers have reported to lose VND20-50 million for every hectare of coconut with prices dropping by half.

    Huynh Quang Duc, deputy director of Ben Tre’s Agriculture Department, said the reason for prices of dry coconut prices to fall sharply is because, after Covid-19, many countries with large coconut areas such as India, Indonesia, and the Philippines have lots of dried coconut inventories, resulting in a supply surge on the market, pushing the prices down.

    As for king orange, the Vinh Long Province’s Agriculture Department said consumers in northern and central Vietnam have lost appetite for the fruit during the past month under impacts of prolonged cold waves.

    Meanwhile, the supply source has remained abundant as farmers prepared a lot for Tet sales in January and then the crop in February resulted in high yield.

    Tra On District now has as many as 50,000 tons of oranges in stock and from now until early March, an extra of 60,000 tons will be harvested, according to the department.

    As per an approved plan, Vinh Long only have 12,000 hectares for king orange farming but in the past two years, with prices of the fruit on the rise and farmers earning profits, they have rushed to grow the fruit, expanding the farming area to 17,000 hectares.

    The Ministry of Agriculture and Rural Development has asked localities to support farmers by strengthening the connection between farms and supermarkets as well as fruit shops and online markets to help farmers sell all of their ripe oranges, despite the low prices.

    Several supermarket chains in HCMC are buying in oranges at VND10,000-14,000 per kilo.

  • Starbucks accelerates Asian expansion plan – eyes 400 more stores

    Starbucks accelerates Asian expansion plan – eyes 400 more stores

    Starbucks is ramping up its expansion plan in the Asia Pacific region, revealing plans today to open 400 additional stores this year alone.

    The expansion will include new cities and outside of major metropolitan areas in markets such as Thailand, Indonesia, Malaysia and the Philippines. In Laos, where it first opened its doors in November in the capital city of Vientiane, Starbucks also plans to open a new store this year.

    The rollout plans exclude the company’s Chinese and Japanese operations.

    Meanwhile, Starbucks plans to build on its existing portfolio of more than 300 stores in India by expanding into at least five new cities.

    The company recorded an 8 percent growth in net new stores during the past year.

    In South Korea, the US-headquartered coffee chain has introduced a 500sqm thrive-thru store in the business district of Gwangyang-si, marking its 5000th location in the region (excluding China and Japan).

    “Our 5000th store in Asia Pacific is a drive-thru store that speaks both to the changing habits of our customers and of our determination to meet them where it is most convenient, while still offering the Starbucks connection,” said Emmy Kan, president of Starbucks Asia Pacific.

    “We will continually enhance our store formats and innovate, not just to cater to changing customer behaviours, but also to fuel growth in the region.”

    Starbucks doubled its number of drive-thru stores in the region in the last four years. The brand plans to open more than 100 locations this year.

    Michael Conway, group president, of international and channel development for Starbucks, said the region achieved more than 20 per cent growth year on year as recovery continues.

    “We are well positioned for further growth with our licensed business partners, who continue to elevate the Starbucks Experience across a range of innovative store formats.”

    Last month, Starbucks launched its first community concept cafe in Taiwan in Xiulin Township with local operator Uni-Wonder Corporation.