Daiwa House launches 1st logistics base in Vietnam
HO CHI MINH CITY, NNA - Japanese homebuilder Daiwa House Industry Co. has opened its first logistics base in Vietnam for the rental of warehousing space to forwarders as part of investment in Asia to meet rising Japanese demand for local products.
Daiwa House on Monday launched the base in Loc An Binh Son Industrial Park in Dong Nai Province, some 40 kilometers east of Ho Chi Minh City, and expects to open another by February 2020, with a total investment of up to 3.3 billion yen ($30.6 million), Tatsuya Urakawa, the company’s managing executive director, told NNA.
According to Urakawa, the new base, having a total floor space of 36,000 square meters, maintains the temperature as low as minus 60 C, which is adjustable to other ranges such as 10-25 C or 0-10 C according to customer needs.
Daiwa House said it hopes the completion of the new facilities with freezers would contribute to expanding the cold-chain network in the region and help increase transportation of frozen food to Japan.
The Daiwa House group has so far developed logistics facilities in Thailand, Indonesia and Malaysia, and “is planning (another) in Singapore and Australia,” Urakawa said, adding that he expects the expansion of the logistics network to help Japan cope with falling food self-sufficiency.
The group placed member countries of the Association of Southeast Asian Nations, better known as ASEAN, as a core area of its overseas business and expects to expand its foreign sales to 400 billion yen by fiscal 2021 from 278 billion yen in fiscal 2018 ended last March, according to Daiwa’s sixth medium-term management plan released in May.
Japan’s food self-sufficiency stayed at a low level of around 38 percent on a calorie basis in 2016 and 2017. China, Australia and Thailand were among Japan’s five biggest suppliers of agricultural products in 2017, according to an annual report on food released by the Japanese government. (NNA/Kyodo)