Food trade buoyant as Thais continue to dine out

While several business sectors were negatively impacted by political problems in the first quarter of the year, the food business enjoys a healthy growth average of 10 per cent, thanks to the Thai consumer's habit of dining out.
McThai Co Ltd, local operator of the McDonald's fast-food chain, recorded growth of 11 per cent in the first quarter with no negative impact from the political crisis. The Pizza Company, operated by Minor Food Group Plc, also registered healthy growth of 16 per cent in the first quarter. Other food chains reported a growth average of 10 per cent in the quarter. Rob Chiasson, managing director of McThai, said the country's political problems had not affected business and Thai consumers had continued to dine out. From the company's research, Chiasson said, Thais dine out on an average 40 times a month. As a result, McDonald's foresees fast growth in Thailand and expects its growth to go up to 10 per cent this year. Marketing vice president Wichai Pornpratang of Minor Food Group Plc said political problems had had no effect on business. The company's sales registered strong growth in the first quarter of the year. It recorded 16-per-cent growth, thanks to the launch of a buy-one-get-one-free campaign in March. The campaign drove sales to an average of 200,000 pans a week in March, up from an average of 80,000. Wichai said that if consumers were concerned about politic turmoil they would shop or spend on things outside their homes to forget the problems and relax, so that the food business had not been negatively impacted by the goings-on in political circles in the he first quarter of the year. Plantation and Farm Design (Thailand) Co Ltd, a subsidiary of Baan Rai Cafe, also recorded growth of 20 per cent in the first quarter. Executive manager Werayut Butprom said demand for coffee and snacks was high because most consumers liked to go out for coffee. The company will expand its branches from 108 to 150 this year. Somjit Likitsathaporn, managing director of Franchise Focus Co Ltd, the owner of Franchise magazine, said the food business had continued to grow by an average of 10 per cent in the first quarter of this year, especially the food-franchise business, because most Thai consumers enjoyed dining out. Somluck Srimalee, The Nation
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