SPC Samlip Enters Thai Bakery Market... Signs MOU with CP Group Subsidiary

At the 'Partnership Agreement Ceremony for the Thailand Bakery Joint Business' held at the InterContinental Hotel COEX in Gangnam-gu, Seoul, at the end of last month, (from left) Jonghyun Hwang, CEO of SPC Samlip, Heesoo Heo, Vice President of SPC Group, Tanit Chirawanon, CEO of Makro Thailand, and Sawarak Titapan, CEO of Makro Business Group, are posing for a commemorative photo.
[Photo by SPC Samlip]

SPC Samlip announced on the 6th that it has signed a partnership agreement with Siam Makro, the distribution subsidiary of CP Group, the largest conglomerate in Thailand, to enter the Thai bakery market.

At the end of last month, SPC Samlip held a 'SPC Samlip-Siam Makro Partnership Agreement Signing' event at the InterContinental Hotel COEX in Seoul for the 'Thailand Bakery Joint Business.'

This partnership agreement is SPC Samlip's first partnership with a local company for overseas business expansion. The two companies plan to establish a joint venture for the production and distribution of bakery products in Thailand and promote related businesses.

As of last year, Siam Makro recorded annual sales of approximately 17.6 trillion KRW and operates about 150 warehouse-style marts called 'Makro' and over 2,500 large discount stores called 'Lotus' throughout Thailand. In addition to Thailand, it operates 10 Makro stores in Cambodia, India, China, and Myanmar, and is engaged in distribution and premium food export businesses in the Asian region.

SPC Samlip plans to start by operating in-store bakeries within distribution channels in Thailand and Southeast Asia, then promote local bakery product production and distribution businesses. It will provide Siam Makro with bakery business know-how, including product development, operational processes, and quality control.

Furthermore, SPC Samlip intends to expand collaboration with CP Group into various fields such as bio and IT industries, based on its 70 years of fermentation-centered microbial research and development, core technologies, and digital innovation.

An SPC Samlip official stated, "Through this agreement, we plan to expand our business starting from Thailand to the Southeast Asian market. Based on our capabilities that have led the domestic bakery market, we will promote the excellence of Korean bakeries in the Thai market."

CP Group is the largest conglomerate in Thailand with sales of about 87 trillion KRW as of 2021. It operates 21 countries across eight business sectors including food under 'CP Food,' distribution under 'CP All,' and telecommunications and media under 'True.' CP All operates approximately 13,000 Seven-Eleven convenience stores throughout Thailand.