Australia's premium branded halal baby food maker Baby Royale will soon put its products on the shelves of 350 supermarkets in Malaysia, reports The Australian.
It believes the rollout of its products in Malaysia's modern supermarkets such as Cold Storage, Giant and Tesco will boost its exports to the Asean region by A$2 million (about RM6 million) over the next 12 months, rising to A$20m a year over the next five years.
Baby Royale managing director Adam Moore said the company, based in the Victorian regional capital of Traralgon, saw the Asean region as being 50 per cent of its within five years, with bigger opportunities in the long term.
"The focus for food is moving away from being just China-centric.
"It is a lot easier for us to do business here (in Malaysia) than in China. That is the reality.
"There are a lot less barriers to entry and I think we should be taking more advantage of it."
Moore said the company had teamed up with powerhouse local market expansion services firm DKSH, which has developed a reputation for growing brands in the region. It is also listed on the Zurich Stock Exchange and operates through 27 Asean countries.
"They can bring some specialist abilities into what we are doing in terms of brand building and market building. For smaller exporters that is really important," Moore said, noting the deal had taken three years to conclude.
The announcement of the deal was made on the Victorian government's Super Trade Mission to Southeast Asia, which includes 85 food and beverage companies. The trade mission moves today to Indonesia before heading to Singapore. – June 18, 2013.