OSAKA -- Japanese snack maker Ezaki Glico plans to triple ice cream output in Thailand to between 2 billion yen and 3 billion yen ($18 million and $27 million) worth of the sweet stuff by 2020.
The Osaka-based confectioner at its own expense recently replaced equipment at a subcontractor's factory on the outskirts of Bangkok, in addition to installing machinery at a local subsidiary. Glico will add more offerings for the Thai market while trying to widen its sales network to suburban and rural areas in the coming months.
A household name in Japan, the company began selling ice cream in Thailand in January 2016. Mainstays like Giant Cone and Palitte were sized down by 30-40% for the Thai market and go for about 20 baht to 35 baht each (60 cents to $1.05).
Glico mainly consigns sales to mom-and-pop stores in Thailand, providing them with freezer cases for its products. In Bangkok and the surrounding area, Anglo-Dutch consumer goods giant Unilever's ice cream brands boast a roughly 60% market share, while Glico holds just around 7%. But Glico expects to grow its vendor network throughout the country to around 20,000 locations.