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A taste of home in rome

Four successful businesses in Italy are importing Thai goods with satisfactory sales and exploring further investments in Thailand. Achara Pongvutitham writes from Rome on food in the first of a four-part series.



Thailand has become the biggest supplier of seafood to a major European firm operating in Italy. Royal Greenland Italy has formed successful alliances with several Thai suppliers, and last year it imported ¤8 million (Bt412 million) worth of seafood from Thailand out of a total turnover within Italy alone of ¤30 million.

Royal Greenland Italy is a joint venture between Italian businessmen and Royal Greenland, one of the world's leading fishing conglomerates and a global leader in the processing, production, marketing and distribution of seafood. It is the world's largest supplier of cold-water prawns. Based in Greenland's capital of Nuuk, it is owned by the Greenland government.

Royal Greenland's Italian joint venture is aimed at expanding its products to include warm-water seafood, and its main sources of these are India, Malaysia, Vietnam, Morocco and Thailand.

Royal Greenland Italy managing director Francesco Picello said his company was focused on capturing the premium market in central and northern Italy by offering high value and premium quality.

He said Italian supermarket chains did not import seafood products directly. Instead, they order them from Italian distributors or EU importers, to avoid sanitary restrictions.

As a result, Royal Greenland Italy has joined with Thai counterparts, especially leading Thai seafood manufacturer and exporter Thai Union Frozen Products, to develop products that serve the needs of the Italian market.

So far, more than 20 products have been jointly developed with Thai manufacturers. These include seafood snacks, fish and prawn products, samosas and a variety of sushi flavours. As well, seafood barbecues and frozen squid products have been developed for Italian consumers.

"We are confident of Thailand's seafood tastes and quality control measures to develop new products to serve our market," Picello said.

Royal Greenland Italy imports more than 60 seafood products from Thailand, both uncooked and prefried. They are supplied directly to supermarkets, retailers and food businesses.

Italy has more stringent requirements for food imports than do other European Union countries. Royal Greenland Italy must ensure that its suppliers are producers of high-quality goods that are acceptable to its market.

"Our goal is to create new products to serve market demand," Picello said.

He said Royal Greenland Italy wanted Thai manufacturers to concentrate more on value-added goods that would help it capture more niche markets.

It also urged the Thai government to push ahead with negotiations for an Asean-EU free-trade agreement, which would help eliminate import tariffs on seafood products.

Picello said the downward economic trend in Italy had not affected the company but that it was considering "talking to its clients about prices".


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