Chinese Shrimp Company, Allied Pacific Gets Boost from Mistui & Co.
Mitsui & Co. has invested about Y2.5 billion ($220 million) ($22 million) to acquire a 37% stake in Allied Pacific, a Chinese firm that farms and processes shrimp.
Consumers in Japan, the U.S. and Europe have become increasingly sensitive to food safety.
Perhaps Mistui saw a business opportunity.
If the company can secure a stable supply of shrimp for which traceability would not be a problem, then profitability follows.
Allied Pacific owns shrimp-farming and feed-production facilities:
1. on Hainan Island.
2. in the city of Zhanjiang
3. in Dalian.
Though registered in Hong Kong, Allied Pacific's headquarters are in Dalian.
The company exports some 13,000 tons of shrimp a year.
The Chinese firm will use the Mistsui investment to upgrade its farming
facilities and improve sanitation.
Trading house Mitsui plans to spend a total of roughly Y80 billion by fiscal 2010 to secure food resources.
Will you feel it safer to eat shrimp from China if Japan is involved?
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Japanese Mitsu Buys 37% Stake in Chinese Shrimper
Hi,
You need to check your conversion of 2.5 billion yen to dollars in Mitsui/Allied Pacific report.
Bob Rosenberry
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