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Published on November 20, 2007

At present, the foundation has two brands: Doi Tung and Mae Fah Luang.

Foundation secretary-general MR Disnadda Diskul na Ayutthaya yesterday said the rebranding would enable the foundation to avoid the common reference to HRH the late Princess Mother in doing business. The Princess Mother is commonly known among people in the North as Mae Fah Luang. Moreover, the move will also strengthen the brand development of products from the Doi Tung project.

"We agreed to the rebranding on the occasion of the 20th year of the Doi Tung Development Project," he said "The Mae Fah Luang Foundation's products are still developed in accordance with HRH the Princess Mother's vision of lifting up Chiang Rai hilltribes' livelihoods with sustainable projects."

Disnadda said that now on, the name Mae Fah Luang would be recognised for development and social activities, while Doi Tung would be known for social entrepreneurship. He said the Doi Tung Development Project would divide its business lines into five categories: agriculture, food, fashion and ornaments, handicrafts and home decorations and tourism.

Foundation executive director Puangroi Diskul na Ayutthaya said the organisation planned to expand its coffee shops under the new brand Cafe Doi Tung. At least five new branches will be established in the fiscal year ending next September 30, adding to the 16 existing ones. The cost is expected to be Bt5 million per branch.

Formerly, the foundation operated the coffee shops under the Doi Tung Coffee brand.

"We're considering locations in Bangkok and other big cities. We may introduce new food products at Cafe Doi Tung, as well," she said.

Cafe Doi Tung will also diversify its blended coffee products from the present Doi Tung Roast and Doi Tung Royal Roast to three new formulas: Light Roast, Classic Roast and Espresso Roast. The new formulas are categorised by the intensity of flavour, she said.

Puangroi said the foundation generated revenue of Bt470 million in the fiscal year ended this past September 30, up 20 per cent from the year before. It earned a net profit of about Bt23 million.

"For this fiscal year, we expect to increase revenue 10 per cent and gain a greater net profit from last year, when we had a profit margin of 5 per cent. To obtain this goal, we will reduce operating costs, such as transportation," she said.

Puangroi said the foundation had tried to compete with global coffee brands but found it difficult to build a local brand that was recognised by Thai consumers.

Nalin Viboonchart

 The Nation