||Vietnam : Sojitz and Kokubu Enter Cold Chain Logistics Business in Vietnam
||Sojitz Corporation and Kokubu Group Corporation (Head Office: Chuo-ku, Tokyo; Representative Director: Kanbei Kokubu;Kokubu) will begin a four-temperature cold chain logisitics business in Vietnam by establishing New Land Vietnam Japan Joint Stock Company (NLVJ) in cooperation with major Vietnamese logistics company New Land Co. Ltd. (NL).
NLVJ will provide modern cold chain logistics services by using its own four-temperature (room temperature, fixed termperature, refrigerated, and frozen) logistics centers and trucks to consistently manage temperatures across all food product operations, from storage to store shipment. NLVJs goal is to reach 1 billion yen in sales over the next decade. Establishing this cold chain logistics business will differenciate and strengthen the capabilities of major Vietnamese food wholesaler, Huong Thuy Manufacture Service Trading Corporation (HT)a joint venture already in operation under Sojitz, Kokubu, and NLas well as further expand their food value chain in Vietnam.
Following the war in Vietnam, Sojitz was the first company from Japan or any other Western countries to establish a liaison office in Vietnam in 1986. Sojitz has extensive business experience across multiple fields in the country, and we are in the process of constructing a food value chain using synergy between food logistics businesses such as HT and Sojitz Group companies involved in Vietnams various industrial sectors.
Kokubu possesses extensive know-how when it comes to the distribution and logistics of a full spectrum of food products from perishables to processed foods. Additionally, Kokubu began cold chain logistics operations in East Asia and Southeast Asia last year. Using this experience in the field, Kokubu aims to construct a cold chain logistics business in Vietnam.
NL has been a leader in the logistics industry with multiple years of experience in the warehouse operation and logistics business in Vietnam. As a company that has worked with Japanese companies over the years, NL has built a strong partnership with Sojitz and Kokubu through its involvement with HTs business operations.
In recent years, Vietnams economic growth has increased the purchasing power of its consumers and the spread of modern retail business models (modern trade) such as supermarkets and conveniences store in the country. While the need for cold chain logistics services are rising, Vietnam does not yet have a sufficient infrastructure system in place to address these needs. Rapid preparations are underway to address these infrastructure-related deficiencies.
Through this business, Sojitz and Kokubu will contribute to the development of a modern logistics infrastructure while simulataneously working towards increased customer satisfaction in Vietnam.
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