News last update:6 Aug 2012

CPF anxious watches Burmese uproar

Thai companies with interests in Burma are closely monitoring the situation across Thailand 's western border with grave concern, hoping the situation will not escalate.

The largest feed compounder inAsia, Charoen Pokphand also has interests in the country that is led by a military junta.

Charoen Pokphand (CPF) Group executive vice president Sarasin Viraphol said the unrest had not affected his group's business in the country.

He did not believe the unrest would have a negative effect on Thai-Burmese investments, particularly CP's projects, which were food businesses of benefit to the country.

Moreover, the protests, led by monks, will not affect the group's investment as long as they remain peaceful.

CP is closely following developments and taking preparatory steps in case the situation turns violent, he said.

Burma has potential
"We still perceive Burma as a country of investment potential. The unrest involves domestic problems that should not make a negative impact on the economy," Sarasin said.

CP won approval from the Burmese government more than 10 years ago to grow corn there for the livestock-feed industry. In 1997, it established the Myanmar CP Livestock feed mill. In 2005, it set up four plants to process 24.4 million chickens per annum.

Border trade
Burma had yet to affect Thailand's border trade. The border trade is a crucial strategy on Thailand's part, because many trading partners benefit from the Kingdom's facilities and transportation.

About 100,000 monks and residents took to the streets last week in Burma in protests against the military junta. The unrest was sparked by the military government's sudden 67% increase in prices for diesel and petrol.

The military junta has ended the protests with violence and hermitically closed down the country.

Editor AllAboutFeed

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