The strategies will also reduce business risks during tougher competition from newcomers.

Pisakwalee Savettanan, managing director of Malee Enterprise, said the company would invest more to develop processing lines.

"This will balance the company's three business operations: contract farming, production, and branding. We hope to receive more orders and achieve economies-of-scale manufacturing which will reduce production costs," he said.

Last year, the company logged Bt3.6 billion in revenue, with Bt2.6 billion coming from exports.

Anurat Khokasai, chief marketing and operation officer of Prantalay Marketing Co Ltd, said his company planned to concentrate on more OEM production.

"We have to adjust both our manufacturing and marketing strategies to compete with export rivals when the ready-to-eat food business turns highly competitive," he said.

The company will not ignore its brand market, but instead will focus more on the lower and mid markets where there are more consumers, said Anurat.

The company has also introduced a raw material supply chain through an integrated operation where more than 1,000 shrimp farmers and shrimp feed producers participate to reduce raw material costs.

"This should boost the company's competitiveness in the world market," said Anurat, adding the supply chain should reduce the company's operating costs amid soaring oil prices.

Pranthalay has aims to reduce raw material costs from 72 per cent to 67 per cent of total expenses and production costs from 9 per cent to 5.5 per cent.

The company has explored the Singapore market and plans to ship products to the EU and US.

Petchanet Pratruankrai, The Nation