Soon after revealing plans to expand its overseas operations, Vietnamese dairy giant Vinamilk has said it will close its representative office in Cambodia next week when its license expires.
It was not immediately clear what the company plans to do with a US$23-million dairy plant it runs in that country in collaboration with Cambodia’s Angkor Dairy Products Company Limited.
Vinamilk owns a 51 percent stake in the plant, which was licensed in January last year and had a revenue target of around $35 million in the first year, Vietnam News Agency reported.
The company, officially known as Vietnam Dairy Products JSC, has two other overseas plants in New Zealand and the US, and a subsidiary in Poland.
It exported baby formula, soymilk and UHT milk products to 42 countries worth $242 million last year, up 77 percent from 2014.
Earlier this week Vinamilk had invited trade counselors at Vietnamese embassies around the world to discuss its plans to boost dairy exports to new markets.
At least Africa and Myanmar have been identified as target markets for 2016.
It also revealed plans to boost sales in the Middle East, where it recently closed a $12.5 million deal to export formula.
The most recognizable brand in Vietnam with a brand value of $1.13 billion, Vinamilk is now one of the country's biggest magnets for foreign portfolio investors, after the government announced plans to divest its entire 45.1 percent stake in it.