NST Food Ingredients has branched into the consumer market after supplying imported ingredients to the food industry for more than 20 years.
A subsidiary called Chat for Health has been set up with registered capital of Bt1 million to produce an instant natural drink for health conscious consumers.
"We have developed Chat products as an instant beverage because healthy substances in powered products will be less vulnerable to natural degradation," Nikom Supmonchai, managing director of NST Food and Chat for Health, said yesterday.
The Chat instant natural drink took three years to develop at a cost of Bt15 million.
NST got its start by importing food colourings and flavourings from Japan and the US to blend in food ingredients to serve local food manufacturers.
Some Thai fruits and herbs could not be produced for food ingredients, but the company believes they contain healthy properties.
Chat will be launched at Tops Supermarket next week, targeted at "B+" consumers, and the company is talking with The Mall Group to distribute the product at its department stores.
Chat for Health has set sales goals of Bt30 million this year and Bt80 million next year with growth at 10 per cent per year thereafter.
A marketing budget of Bt5 million has been allocated to educate con¬sumers about Chat products.
The functional health beverage market is now Bt4 billion.
Growth in the beverage market as well as in the number of health conscious consumers should help Chat meet its sales milestones.
Chat for Health comes in five blends - mangosteen and roselle, mul¬berry and roselle, butterfly pea and lime, pandan and safflower, and lemongrass and safflower.
The company plans to export Chat to Europe in the future because Europe is more familiar with Thai fruits and herbs especially mangosteen and roselle.
NST Food projects sales to rise 10 per cent from Bt120 million last year.
NST will begin exporting by supplying instant mangosteen to the US next year, he added.