RICE MIND'S HEALTHY FUTURE
Instant cereal drink achieves annual sales of Bt350m as innovative product finds niche with consumers all over the world
While Thailand's rice traders face tougher foreign competition, one Thai company foresees a great opportunity to expand its market by creating an innovative rice cereal drink to attract health-conscious consumers the world over.
In 2003, Larpwisetkasikij Business launched Rice Mind, an instant cereal health drink. The company has enjoyed total sales of Bt350 million per annum, selling both in the domestic market and for export. "The value-creation strategy has let the company avoid stiff competition, differentiating itself from commodity trading," said owner Noppachatt Larpwisetkasikij. Faced with health problems for years, Noppachatt herself began developing the high-nutrition drink from jasmine rice to heal herself. The results were not definitive, but she foresaw a high potential for the product. Then she decided to join hands with the company's research team, in order to develop the nutrition drink further. Two years later, the drink was ready for commercial sales. Larpwisetkasikij Business created Rice Mind, its own brand of instant cereal drink made from jasmine-rice starch and in high-quality packaging. Noppachatt explained that the value-added rice product generated a high income and better opportunities not only for Thailand's economy, but also for poor farmers. "Having more rice products will ease the problem with falling prices, due to an oversupply of production," said Noppachatt. To ensure a high-quality product, the company has its own rice plantation in the Northeast. The company's products are guaranteed 100-per-cent chemical-free, a factor that has enabled the company to access export markets like Malaysia, Italy and Japan. The company's export revenues totalled Bt150 million last year. The company plans to penetrate India next year. "We hope the Thai-Indian Free-Trade Agreement (FTA) will facilitate our product entering into that market," she said. Marketing director Anek Janenuwat said the company would explore more foreign markets, particularly in Europe and among FTA partner countries, in order to boost sales. He said the company's export growth was forecast to grow 300 per cent in the next three to five years, thanks to a rising health consciousness throughout the world. The company is aggressively boosting its sales via many different channels, including domestic and international trade fairs. It is also promoting its product through kiosks in leading hospitals and public areas. Anek said the company was developing more products made from rice starch, in order to serve a variety of market demands.
Petchanet Pratruangkrai The Nation
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