Thai snack maker Useful Food Co. Ltd. is considering closing its factory in China and cutting back its growth plan to Southeast Asia instead of the entire Asian region.
The company, one of Thailand’s largest snack producers, had planned to use the seven-year-old Chinese plant as a base for its international expansion.
Now the company will increase its focus on the Thai market after losing its leadership to PepsiCo.’s Frito-Lay brand. Its market share fell from 20 percent in 1996 to 10 percent last year.
It will also expand its business in countries bordering Thailand and export Thai-made snacks rather than building factories in those markets.