Thai company Sutech Engineering expects to sign this autumn an agreement to build a sugar production plant in the Khabarovsk Territory. This was reported by Liong Cheung Chi, Vice-President of the company.
Liong Cheung Chi also noted that according to preliminary estimates the volume of investments will amount to $210 million and that the project is expected to be completed in two years.
A company from Thailand created a pool of foreign investors from Indonesia and Japan to build a sugar refinery in Khabarovsk Territory.
Designed capacity of the plant amounts to 1.5 thousand tons of products a day.
According to Tirapon Prucksathorn, the Board Chairman of Sutech Engineering, sugar will not be the only one product the Thai company intends to manufacture in Khabarovsk Territory. “Sugar is the primary product, but we are interested in other kinds of products as well. Highly refined raw sugar can be used in chemical and medical industry, animal husbandry, cosmetology,” he said to a TASS reporter. Sutech Engineering is ready to assume 80% of investment costs necessary to build the new plant. The rest amount will be covered by Russian partners that have to provide the construction site and help to “connect” it to existing regional infrastructure.
In a bid currently contemplated by Thailand businessmen, the Khabarovsk Krai is likely to get its first sugar mill. According to the press office of the region’s government, Governor Vyacheslav Shport and Chairman of Thailand’s Sutech Engineering Co., Ltd. Terapol Pruksathorn have already reached a preliminary agreement. The parties signed a memorandum of understanding to this effect during the Eastern Economic Forum in Vladivostok.
Investment required to build a mill with a capacity of 550,000 tonnes of sugar a year is estimated at almost $200m. According to the regional ministry of investment and land and property policy, the mill is expected to create 780 jobs.
“We have considered a lot of possible sites to set up our production, not only in Russia, but other countries as well, and thought the site in Sovetskaya Gavan the most attractive. We are starting the preliminary procedures today, and the launch of the project is scheduled for May 2016,” Dr. Terapol Pruksathorn said.
The Khabarovsk Territory investment and development agency, together with the representation of Russia in the Kingdom of Thailand, has started working on possible implementation of the PSEZ Vanino-Sovetskaya Gavan investment project of the Thai company Sutech Engineering Co., Ltd. Its representatives have familiarised themselves with the engineering infrastructure and the feasibility parameters of the industrial sites within the port special economic zone.
The company intends to build a sugar production unit within the port special economic zone in the Sovetsko-Gavansky District in the Khabarovsk Territory. The investment in building the enterprise with a capacity of about 550 thousand tonnes of sugar a year will be at least USD 150 m. According to the press service of the
Ministry for Investment and Land Property Policy of the Territory, it is estimated than 780 new jobs will be created.
It is proposed to implement the project on a BOT (Build – Operate – Transfer) basis, which presupposed that the company engage in construction and operation for a set period, after which the facility is handed over to the state. Sutech Engineering Co., Ltd. is one of Asia’s biggest producers of equipment for the sugar industry. It has its own sugar production capacity in Thailand and other countries of South-East Asia. It has experience of operating in the Czech Republic, Italy, the United Arab Emirates and other countries.
After the visit, Sutech Engineering confirmed its interest in further elaborating the investment project.
Sutech Engineering Co., Ltd
Company's website: www.suenco.co.th
T: +66 (0) 2440 0192-9
Sutech Engineering Co., Ltd. is one of Asia’s largest manufacturers of equipment for the sugar industry. The company has sugar production facilities in Thailand and Southeast Asia and has experience working in the Czech Republic, Italy, UAE and other countries.