Published on: Saturday, November 10, 2007 |
BUTTERWORTH: KBB Resources Bhd, a manufacturer of food products based on flour and sago, plans to venture into tapioca plantations to expand its product categories.
Its director Shaffie Bakar said the company was looking for opportunities to start tapioca plantations in Cambodia as well as Sabah and Sarawak to get the raw material for processing into food products.
Speaking to reporters here today, Shaffie said the areas being sought should be around 10,000 hectares and suitable for tapioca cultivation.
The company could also make use of tapioca as a flavouring for its food products, he said.
Main Board-listed KBB has 60 percent share of the local beehoon market and its products are also exported to Indonesia, Brunei and Singapore, according to Shaffie.
Based at the Kuala Ketil industrial estate in Kedah, the company planned to increase its production of beehoon in the next three years and may consider acquiring companies related to its business, he said.
He added that with food prices going up, beehoon was a suitable choice as a 400-gram pack was sold at between 75 sen and RM1 and sufficient for seven persons.
The company, which has more than 1,000 employees, posted a revenue of over RM100 million and profit of RM10 million last year.
Besides its factory at Kuala Ketil, the company also has factories at Sibu in Sarawak, Semeling in Bedong, and Jakarta and Irian Jaya, Indonesia. On Malaysia's move to become a halal food hub, Shaffie said KBB would take the opportunity to attract partners from the Middle East for joint ventures in food production.
He said that Malaysian halal certificates and food products have been well accepted by consumers in the Middle East.-Bernama
