Bimbo strengthens manufacturing footprint in central Asia with JV
According to Bimbo QSR, which has a 51% stake in the JV, the deal will give it the opportunity to ‘strengthen its manufacturing footprint’ and relationship with quick-service restaurant (QSR) clients in central Asia.
Bimbo said Asia’s QSR industry is expected to deliver a CAGR of 8.9% by 2023.
Meet the needs of customers
“It is our priority to meet the needs of our QSR customers worldwide and we will continue to invest in our business to achieve it,” said Mark Bendix, Bimbo QSR president.
“This operation in Kazakhstan is well positioned to meet the growing demand of our customers in the region.”
The JV – expected to be operational by the end of the first quarter of 2020 – expands Grupo Bimbo’s presence to 33 countries.
The Mexican bakery giant’s biggest market is the US followed by Mexico, accounting for 50% and 30% of total sales, respectively. Bimbo also has a presence in Latin America, Europe, Africa and Asia.
Earlier this month, the company announced it was launching two accelerator programs, Eleva and BakeLab, to scale up innovative startups throughout Latin America.
Grupo Bimbo has one of the world’s largest distribution networks, selling products like fresh and frozen bread, buns, cookies and cakes, among others, in more than 3.1 million retail outlets. It has 196 factories both in Mexico and abroad, and employs more than 136,000 people. The Mexico-listed company realised $15bn in net sales in 2018.