Vietnam dairy group Vinamilk has confirmed it is considering expanding into the US.
The company has confirmed to just-food it is mulling an investment in California-based Driftwood Dairy but stressed a deal has not been concluded. Other options to sell in the US are being considered.
Vinamilk spokesperson Hanh H. Pham said: “Our projects – including the one with Driftwood – have not come to conclusion yet, so we cannot share any information about this now.”
The company is also considering direct exports, given it has received approval from the US Food and Drug Administration to sell Vietnam-made dairy products in the country.
Pham said: “Recently, the FDA has approved Vinamilk products to the American market. This market has a high potential, but also requires high and strict standards of hygiene, nutritional quality and safety. Vinamilk is still planning proper strategies before coming in.”
Already the leading producer of dairy products in Vietnam based on sales revenue, Pham added Vinamilk’s “international expansion plans, as well as plans focusing on expanding the domestic market, will serve our target of hitting a US$3bn [annual revenue] by 2017, and help us become an international company in the dairy industry”.
She stressed Vinamilk’s US initiatives followed its investments in New Zealand and Cambodia.