April 12, 2022

Processing company advances by boosting skills and partnerships

 A Cambodian fruit processor establishes a reliable network unlocking access to domestic and international markets

Fruit processor Veha Juice Co., Ltd. (Veha Juice) is diligently implementing a targeted action plan to promote Cambodia’s local products in domestic and international markets. With support from Feed the Future Cambodia Harvest II, Veha Juice has strengthened its processing through coaching, training, and investment; added value to its products by applying for internationally recognized certifications; and established business partnerships allowing its growing network to capture opportunities in domestic and international markets. 

To help Veha Juice build its capacity, Harvest II organized an exposure visit Phnom Penh, supported product development training, and linked the processor with suppliers and service providers to improve its supply chain. Applying the freshly acquired knowledge from the training and coaching, Veha Juice has developed several products catering to new markets, such as premium longan in syrup, dried longan, dried mango, dried pineapple, and dried dragon fruit. In addition, Harvest II recently connected fresh longan buyer Yim Bunthoeurn with Veha Juice to explore collaboration and diversification opportunities. Based on their discussions, Veha Juice developed, tested, and launched a new processed longan product. Harvest II organized a special contract signing ceremony for Mr. Yim Bunthoeurn and the fruit processor, establishing a reliable supply of longan. 

During the exposure visit and training, Veha Juice learned about factory upgrades and equipment that could improve processing, prompting the fruit processor to invest and upgrade its factory to meet international standards. The investment and upgrades created 18 new full-time equivalent jobs in Veha’s factory in Banteay Meanchey province. Veha Juice’s investment in its facility has unlocked access to domestic and export markets by meeting food safety standards. To further penetrate these markets, Harvest II is working with Veha Juice to apply for product registration and good manufacturing practices (GMP) certifications. 

Veha Juice showcases its products at the Makro trade fair, which later resulted in a business agreement between the premium market and processors. 

To expand in Cambodia’s domestic market, Veha Juice partnered with Harvest II to develop a targeted five-zone distribution strategy. This quarter, Harvest II organized a formal signing ceremony for Veha Juice and its distributors from three of its five targeted zones -- Kampong Thom, Phnom Penh, and Siem Reap. The fruit processor signed formal business agreements with three distributors, strengthening the supply chain and ensuring a reliable distribution system. In addition, following a one-week trade fair at Makro supermarket organized by the Ministry of Commerce and Harvest II, Veha Juice signed formal business agreements with premium domestic supermarkets Makro and Lucky. 

Continuing to diversify its market, this quarter, Veha Juice exported six kg. of dried longan to a wholesaler in South Korea for market sampling and testing. Once the testing is complete, the wholesaler plans to sign a formal agreement with Veha Juice. The processor has also shipped samples to the US market and aims to expand its international market base to include Australia, France, England, and other overseas markets. 

Harvest II recently connected Veha Juice with service provider Phnom Penh Packaging Company to address packaging and branding constraints. Following the meeting, Veha Juice partnered with the service provider to develop customized packaging and create a branding and marketing campaign to attract consumers and expand their target market. 

Harvest II organized a signing ceremony between Veha Juice and business partners to celebrate progress and clarify future expectations.

Mr. Sum Sovung, Founder and General Manager of Veha Juice recently shared, “Thank you to Harvest II! The project has supported us in terms of capacity building, product development, engaged service providers to support my company in branding, packaging, and linkages on the supply side and especially linkage to domestic and export markets.” 

Harvest II is continuing to work closely with Veha Juice to implement its holistic development approach – building processing capacity, obtaining registration and certification to meet export quality standards, and establishing business agreements with buyers to strengthen the supply chain and facilitate domestic and international market expansion.

No comments:

Post a Comment