“CP group is like TATA to Thailand. They are present in every walk of life.” Said H.E. Mr. Chutintorn Gongsakdi. Founded in 1921 as a seed trading store for Thai farmers, the Charoen Pokphand, CP Group has grown over the years into an integrated food production, distribution and retail business. Today considered one of Thailand's largest private company and one of the world's largest conglomerates, it is headquartered in Bangkok, with interests spanning across agribusiness and food, retail and distribution, telecommunications,plastics, automotive, pharmaceutical, property and financial investments.
LOTS Wholesale Solutions, a part of the USD 50 billion Charoen Pokphand Group (“CP Group”) and a wholly owned subsidiary of Siam Makro Public Company Limited (“Siam Makro”) from Thailand launched its first store in India in July this year.
The company had announced its foray into India at the World Food India 2017 with a Memorandum of Understanding (MoU) worth INR 1,000 crores signed with the Ministry of Food Processing Industries.With its initial footprints in Delhi NCR, LOTS Wholesale Solutions will help generate 5,000 direct and indirect jobs over the next five years.
Tanit Chearavanont, Managing Director, LOTS Wholesale Solutionsannounced, “ Through this store, the registered members of LOTS Wholesale Solutions will enjoy the benefits of a vast assortment of high-quality food and non-food products. Fresh produce will be directly sourced from local farming communities, which will help farmers increase their income whilst reducing wastage during transportation and storage.”
Companies like CP works on a business model which helps in bringing the new technology to farmers and hencesupports in increasing the productivity. A few percentage of return is vowed to the farmers and the investments on the field are made by the company. The farmer does not need to sell his/her land, and can work with the company in a cooperative environment. Indirectly the farmer positions himself as investor. Such projects are being run in countries as China, Cambodia and 20 more.
The 3 Cs on which the company works are : Country, Community And Company. The firm believes in benefiting the country and its community and hence what is left is for the company. ” They don’t need to make a lot, because they sell a lot, which makes them capable of helping the farmers and taking the risk in a very price-hostile and vulnerable sector.” Mentions Ambassador of Thailand to India.
With Thailand’s augmenting interest in India’s market, many of the firms are planning to enter the Food sector and Automobiles industry, following the steps of Koreans and Japanese firms.
Invest India, which is the National Investment Promotion and Facilitation Agency of India acts as the first point of reference for investors in India. The agency is working on everyday level, trying to find solutions for such companies to enter in India. Working on South East Asia focusing on Singapore, Thailand and Malaysia is a confidence booster for Thai companies to look upto New Delhi.