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VITARICH
Corp., which produces home-grown poultry and feeds, has
expressed confidence that this year’s sales will grow by
more than 10 percent in terms of volume on the back of
the anticipated robust performance of the livestock and
poultry sector for the year.
In a
Quezon City press briefing Monday, Vitarich Corp.
chairman and president Rogelio M. Sarmiento told
reporters that the expected increase in the production
of poultry and hog raisers will sustain the demand for
feeds this year.
“In
terms of volume, our sales may grow by more than 10
percent this year. In terms of value, the possible
increase is 15 percent,” said Sarmiento, adding that its
feed sales segment alone reached more than P2 billion in
2007.
However,
the executive admitted that the continuous increase in
the prices of local and imported corn will continue to
hurt the feed-milling industry.
On the
local front, corn prices have already reached P14.50 per
kilogram while the landed cost of imported corn minus
the duties is estimated at P16 per kilo.
“Corn
prices, even in the international market, will remain
high because of the current focus on bioethanol
production,” said Sarmiento.
The
Vitarich official also disclosed that the company is
setting aside P50 million as capital expenditure which
will be mainly used to upgrade its facilities and plants
this year.
But the
company will still put priority on settling debts to
banks which is currently estimated at P3.26 billion.
Under a
restructuring plan approved by a Malolos City
rehabilitation court, the company is supposed to fully
settle its debts in 15 years.
Recently, the company obtained Hazard Analysis Critical
Control Point certification for its Bulacan feedmill
plant.
Founded
in 1950, Vitarich is engaged in the feed and livestock
operations in plants located throughout the Philippines.
The company manufactures hog, poultry, aqua, and other
specialty feeds. |
