TUF branches into tuna oil

       Thai Union Manufacturing Co, an affiliate of Thai Union Frozen Products Plc (TUF),has formed a joint venture with Nippon Suisan Kaisha Limited, a leading Japanese seafood company, to produce high-grade tuna oil.
       The new company, TN Fine Chemicals Co, has 90 million baht in registered capital and will convert seafood byproducts into refined chemical products that can be used as ingredients in dietary supplements and pharmaceuticals, said TUF president Thiraphong Chansiri.
       Thailand is the world's main producer and exporter of processed tuna, he said.
       The group believes that seafood byproducts have significant potential to be developed into high value-added goods.
       TN Fine Chemicals plans to invest more than 80 million baht in new equipment and machinery that has never been used in Thailand before, said Mr Thiraphong.
       The first phase will produce high-grade tuna oil suitable for use in baby milk formula.
       TN Fine Chemicals plans to produce 540 tonnes of tuna oil a year, garnering sales of more than 125 million baht. The product will be exported mainly to Japan,the US and the EU.
       The joint venture firm also plans to produce glucosamine, a health food product extracted from shrimp and crab shells.
       "These new projects will make better use of waste materials from our main seafood production lines, helping us achieve our environmental objectives,while adding value to these by-products and diversify our product portfolio," Mr Thiraphong said.
       TUF, the world's second-largest tuna company, reported strong sales of more than 51 billion baht in the first nine months of the year.
       TUF shares closed yesterday on the SET at 27.25 baht, down 25 satang, in trade worth 46.54 million baht.