Sojitz and Vinamilk Group Begin Operation of Vietnam’s Largest Beef Processing Plant － JVL Creates a New Food Culture with the Spread of High-Quality Vietnamese Beef －

Sojitz Corporation (“Sojitz”) has begun operations at one of Vietnam’s largest beef processing plants in Vinh Phuc Province’s Tam Dao via Sojitz Group company, Japan Vietnam Livestock Co., Ltd. (“JVL”) , as of December 17, 2024. The processing plant will be the first* in Vietnam to process refrigerated beef, and all meat will be processed in a controlled, highly sanitized environment. In the future, Sojitz aims to have the plant process and ship approximately 10,000 tons of beef annually. In March 2025, Sojitz plans to start operating a cattle farm near the processing plant and will provide a stable supply of high-quality beef products through an integrated system for all processes from farming to processing and sales, which enriches the food culture in the country.

In Vietnam’s current meat market, pork and chicken consumption is high while annual beef consumption is limited to 500,000 tons per year (Japan’s annual consumption of beef totals 1 million tons). Most beef distributed is processed and shipped at room temperature before being sold at traditional markets. Moving forward, Vietnam’s population growth (100 million people as of 2023) and rising income levels are anticipated to increase the domestic consumption of beef. Due to diversifying consumer behavior from this economic growth, demand is expected to grow for high-quality domestic beef processed in a sanitized refrigerated environment.

In September 2021, Sojitz and Vietnam Livestock Corporation JSC, a group company of Vietnam’s largest dairy manufacturer Vietnam Dairy Products JSC, established JVL as a joint venture company for a beef livestock business. Starting in 2022, JVL began test marketing of Japanese beef imports and sales before starting sales of Vietnamese beef products processed at partner plants at sales channels including supermarkets and restaurants from 2023. The new processing plant will be equipped to process approximately 30,000 cattle per year with the aim of increasing production of beef products to approximately 10,000 tons per year. The beef products will be distributed using Sojitz’s four-temperature, cold-chain logistics service in Vietnam with plans to conduct sales to mid- to high-end hotels and restaurants in the customer network of DaiTan Viet Joint Stock Company, which is Sojitz Group's largest commercial food wholesaler.

The cattle farm adjacent to the processing plant will be capable of raising 10,000 heads of cattle, and Sojitz aims to provide a stable supply of Vietnamese beef products through an integrated system that spans cattle farming to processing and sales.

Sojitz will continue to pursue growth markets as part of the Sojitz Growth Story under Medium-term Management Plan 2026. Sojitz has a strong foothold in the Vietnamese market starting with the logistics business that includes manufacturing and retail, and the company plans to expand its retail businesses further. In this beef business, Sojitz will leverage its business foundations to distribute and sell products and promote inter-business collaboration and growth in order to strengthen the food value chain in Vietnam.

Contact: Sojitz Corporation Public Relations Dept.　hodo@sojitz.com