Thai Union Group announces major transformation plan
Thai Union Group, the world's leading seafood producer, has broken years of silence and low profile to announce a major transformation plan, Strategy 2030, aimed at thriving over the next six years.
At a press conference on Monday, Thiraphong Chansiri, president and chief executive officer of Thai Union Group, outlined this ambitious roadmap, which aims to boost net sales to US$7 billion by 2030 from $3.9 billion in 2024.
The strategy also targets a 100% increase in earnings before interest, taxes, depreciation, and amortisation (EBITDA) from about $400 million to between $700 million and $800 million within the next six years.
"The world today faces unprecedented shifts, from geopolitical pressures and rising inflation to rapidly evolving consumer demands," Thiraphong said. “In the face of these challenges, Thai Union is seizing the opportunity to turn the tides and achieve greater success.
“With a bold vision to become the world's leading marine health and nutrition company grounded by our purpose of ‘Healthy Living, Healthy Oceans’, we're setting our sights on achieving US$7-billion revenue and doubling EBITDA by 2030."
Strategy 2030 is built upon three strategic pillars:
- Revitalising the core: Focusing on primary business categories such as branded ambient, chilled and feed products
- Driving the next wave of growth: Emphasising faster-growing categories including pet care, frozen, culinary, and ingredients
- Exploring new frontiers: Investigating new ideas and technologies such as aquaculture ecosystems and alternative proteins
Paul Herholz, chief strategy and transformation officer at Thai Union Group, said Strategy 2030 is more than just a roadmap; it is the company's catalyst for sustained, long-term growth.
"Built on three strategic pillars, Strategy 2030 sets forth ambitious goals for Thai Union to achieve over the next six years, leveraging both organic and inorganic growth opportunities," he said.
The company has introduced two key transformation initiatives: Project Sonar and Project Tailwind.
Project Sonar targets about $75 million in annual savings from 2026 onwards, with 40% earmarked for reinvestment in business growth. Project Tailwind, focusing on the pet-care category, aims to achieve an uplift of about $50 million in annualised operating profit from 2027 onwards.
Roy Chan, i-Tail Corporation’s executive committee chairman, highlighted that the pet business is expected to comprise one-fifth of Thai Union's revenue within a few years, outpacing the global market growth of around 6% annually.
"With Project Tailwind, we are not just aiming to ride the wave of market growth, but to strategically accelerate our success and achieve a transformative uplift in our operations," Chan said.
Ludovic Garnier, Thai Union chief financial officer, emphasised the importance of reinvesting savings into marketing and innovation, particularly after recent cuts affected branded volumes. He expressed confidence in the company's potential for significant organic growth despite challenging conditions.
"Our journey towards Strategy 2030 is not only about reaching bold financial targets, but also about transforming Thai Union into a dynamic organisation capable of sustainable, long-term growth," he said.
Thiraphong concluded by reiterating Thai Union's commitment to becoming a leading marine health and nutrition company.
“Strategy 2030 will empower us to redefine the marine health and nutrition industry for decades to come,” he said.
Thai Union has already made significant progress towards delivering Strategy 2030, with both transformation projects under way. Key initiatives include establishing a new Innovation Hub in the Netherlands, increasing marketing investments, optimising manufacturing operations, and expanding digital capabilities globally.
The company, which has been delivering seafood products for 55 years, reported annual sales exceeding 136.2 billion baht ($3.912 billion) in 2023, with a global workforce of more than 44,000 people.
Thai Union's current global sales distribution shows 39% from North America, 30% from Europe, 20% from Asia, Africa, Australia, Middle East and South America, and 11% from Thailand. The company operates 17 production locations with 30 factories and maintains three innovation centres in France, Thailand and the Netherlands.
