Danish Business Delegation to Thailand with Danish Minister for Food, Agriculture and Fisheries, 27-30 September 2023

The Embassy of Denmark in Bangkok and the Danish Agriculture & Food Council (DAFC) invite you to participate in an export promotion to Thailand focusing on sustainable food production – innovation and higher efficiency.

THAILAND – THE FOOD BASKET OF ASEAN
The delegation is set up to maximize Danish companies’ presence in Thailand.  

WHY THAILAND?

• Thailand is one of the world’s leading food and agricultural suppliers. Currently ranked no. 13 among food exporters with a target to get in top 10 by 2027 and a key global player in the “Future Food” market.
• The Thai government wants to push Thailand to become ASEAN's processed food hub by 2027
• The value of Thailand’s food exports was DKK 261.64 billion in 2022 
• Thailand is also the 4th pet food exporting countries in the world and the first in ASEAN with a value of DKK 19.2 billion in 2022   
• Due to its rich natural resources, vast low-cost workforce and well-developed food-processing sector, Thailand is exporting both raw food and value-added products to international markets
• Rising incomes and rapid urbanization
• The food production and export has shown strong resilience even during the pandemic
• As a result, the food and agriculture sector is on top of the agenda for the Thai Government employing almost 40% of the workforce and occupying 50% of the total land area.
• Need for more innovation, improved sustainability, improved value addition and better quality to achieve both Government and private sector strategies

OPPORTUNITIES IN THAILAND

Poultry

• Poultry is Thailand’s main livestock industry and has significantly contributed to the growth of Thailand’s agricultural GDP
• In 2022 By value, Thailand is the world’s 4th biggest exporter of poultry products. While by quantity, Thailand is the world’s no. 1 biggest exporter of processed chicken, enjoying a 26.0% market share
• There are 38,970 Broiler Farmers in Thailand, total Domestic output of Thailand’s chicken production is 1.77 billion heads and generated 2.83 million tons of meat
• Per capita chicken consumption is 12 kg/year and forecast to grow between 2022 and 2026 at a CAGR of 3.44%. 
• Domestic demand: Consumption is expected to raise by 3.0-4.0% per year on steady economic recovery now that the country has fully reopened. In particular, demand will be driven by the rebound in the tourism, hotel, and restaurant industries
• Thailand’s poultry industry has a demand to transform due to technological innovation, rising domestic demand, as well as international pressure for higher food safety standards.

Pork

• Pig production in Thailand has increased significantly and is now around 1 billion kg annually
• In 2022, there was a production volume of 15.51 million heads, and in 2023 it is expected to be 17.47 million heads, an increase of 12.66% 
• There are 3,594 Commercial Pig Farm in Thailand
• Strong meat processing industry with well-established facilities, human resources and natural resources
• Growing concerns surrounding African Swine Fever have led the industry to new initiatives to protect its production from disease.
• New demands for modern production facilities and processing equipment including better access to high quality feed and better safety standards. 

Beef

• The Beef market in Thailand is categorized in three quality groups: generic beef, medium quality, and high quality
• Thailand’s beef consumption is approximately 170,000 tons per year, while the consumption per capita is around 1.8 kilograms annually
• There are 1 million Beef Cattle farmers and 7.4 million Beef Cattles in Thailand
• Beef consumption has been increasing over the last couple of years, corresponding with the expansion of the tourism sector and foodservice
• The country has imported 42,940 tons of beef in 2020, which is valued US$130 million
• Imported beef is the primary source of high-quality beef in Thailand, as the cattle production in Thailand does not meet the demand and quality.

Dairy

• There are 23,000 dairy farmers and 337,000 lactating cows out of 763.000. 6,656 of dairy farms are bigger commercial farms.
• Total production is 1.3 mill. tonnes of milk. Average yield per cow around 3500 litres/year. Same breeds as in Denmark, mostly Holstein.
• The market for UHT milk is around 20 times bigger than the market for fresh pasteurised milk
• Per capita milk consumption in Thailand is low at 22 litres per year. Growth rate in consumption per year is around 4-5%. In the category of milk and milk alternatives like Soymilk and other milk alternatives, cow milk only counts for 36%. Soymilk counts for 40%.
• Processing equipment for pasteurised milk, yogurt, ice cream and cheese (niche), and equipment for use in laboratories, are mainly imported.

Feed

• Thailand’s animal feed market is mainly consisting of poultry and pig feed. 
• The total poultry and pig production accounts for 90% of the total feed demand. The growing number of cattle population in Thailand, is raising the demand for animal feed.
• The current increase in prices for feed ingredients (Russia’s invasion of Ukraine affects) have a direct impact on livestock production costs as feed costs account for 60-70% of total production costs.
• Feed consumption for animal farming has had a steady growth rate at an average of 2.7%.

Food Ingredients

• The value of Thailand’s food exports was $38.8 billion in 2022 with an increase of 23% from 2021, while the value of Thailand’s imports of food ingredient was $3.3 billion.
• There are 10,000 food processing manufacturers in Thailand. 
• Sodium Tax's implementation will have a substantial impact on instant noodles, sauces and seasonings. As a result, food processors develop a need to seek out alternate additives to replace the sodium they already consume.
• Sugar Tax applying to soft drinks, energy drinks, juice, beverage concentrates, coffee, and tea, beverage push companies to look for alternative sweeteners.
• The popularity of healthy foods and beverages has led to a growing demand for products that promote well-being, improve digestion, and boost immunity.
• Key segments in the Food Processing Industry are Functional Beverages, Processed Seafood, Snack foods, Fruit and Vegetable Juices, Ready to eat, Bakery and Plant-Based Food.

WHO SHOULD JOIN?
The delegation is open to participation from companies engaged in the entire food value chain with special focus on sustainable food processing, value addition, higher efficiency, e.g. within:

• Breeding and genetics
• Feed and feed additives
• Farm equipment and biosecurity
• Food processing and laboratory technology
• Infrastructure, cold storage and transportation

Companies mentioned in the sectors above, that are either looking into penetrating the Thai market and/or already present in the market will benefit from participating in the delegation. 

YOUR BENEFITS

• Engagements with public and private stakeholders to gain knowledge of the strategic developments in agriculture and the livestock value chain market in Thailand.   
• The opportunity to establish network with major players, relevant associations and key decision makers in the sector. 
• Promote your company in Thailand and expand your network. Direct contact to importers and end users of your products.
• Participate in organized site visits to experience local production.

PROGRAMME
The below program is preliminary and will be finalized approximately one month before the delegation and will be based on input from participating companies. Preparatory meetings will be planned. Further we expect Minister for Food, Agriculture and Fisheries Jacob Jensen to participate in the delegation:

Wednesday, 27 September 2023

• Arrival in Bangkok
• Welcoming dinner and introduction

Thursday, 28 September 2023

• Site visit to Thai – Denmark Milk. Company visit and business round table with other stakeholders in the dairy value chain as a part of the official Danish minister delegation. 
• Alternative option: Visit to a vertically integrated food company for other sectors.
• Round table meeting with participation of the Danish Minister for Food and Agriculture and the Thai Minister for Agriculture and Cooperatives – discussion on increased value addition, high value products and sustainable food production.
• Business match making and networking.
• Networking dinner at the Ambassador’s residence. 

Friday, 29 September 2023

• Site visits to food, feed, and pet food manufacturers and B2B meetings. 
• Business Round Table on Sustainable Food Production for the future – Producing more with Less. Stakeholder discussion and presentations at company site.

Saturday, 30 September 2023

• Site visits and B2B meetings.
• Departure from Bangkok

PRICE
The total price for participation in the business delegation to Thailand is 13,900 DKK excl. flight, hotel and VAT per company for 1 representative and 5 guests at the reception.
Extra representative 2,000 DKK per person.

NOTE: The Danish company is free to have its local representatives represent your company in full during the event. On the registration form you can, if relevant, therefore add the contact information of the local participating person/company. However, only Danish companies in Denmark with a Danish CVR number can register for participation, and the invoicing will always be issued in DKK to the Danish company address.
We reserve the right to offer you participation at a different price should any of the above criteria’s change. Should this result in a higher price than quoted, you have the right to cancel your participation. Other expenses not mentioned above are at own expense including visa, flights, dine & drink and hotel.

NOTE: The price is based on 7 participating companies, who are all eligible for subsidy, and 50 percent subsidy (already granted) from the Trade Council of Denmark. 
If your company is not eligible for subsidy due to de-minimis issues (having received more than 1,5 mio. DKK in de-minimis subsidy within the past 3 years, including the present) you are binding yourself to pay the full price, meaning without the subsidy. The same conditions apply if you do not wish to receive subsidy.

HOTEL AND TRAVEL INFORMATION
Flights and hotel are not included in the price. Upon registration, you will receive a travel suggestion.

REGISTATION
Please register here, no later than 16 June 2023.
Registration is made in accordance with DAFC’s terms of participation.

THE ORGANIZERS

Danish Agriculture & Food Council, Jeppe Søndergaard Pedersen, Chief Advisor, e-mail:jspe@lf.dk, tel. +45 2331 7450

Embassy of Denmark to Thailand, 10, Sathorn Soi 1, South Sathorn Road, Bangkok 10120, Henning Høy Nygaard, Regional Minister Counsellor, Food and Agriculture, hennyg@um.dk, +66 (0) 642936422