TIPCO’s Bitter Harvest: Tinned Pineapple Production Comes to an End Amid Mounting Losses
Tipco Foods Suspends Canned Pineapple Production Due to Continuous Losses
Tipco Foods has decided to suspend production and sales operations of canned pineapple from its subsidiary, Tipco Pineapple, effective September 25, 2024, due to ongoing losses.
Air Chief Marshal Phongsathorn Buasap, Chairman of the Board of Directors, Tipco Foods Public Company Limited, reported to the Stock Exchange of Thailand that the decision was made during the Board of Directors’ meeting on September 24, 2024.
The main reason for the suspension is the ongoing operating losses and the fluctuation in the quantity and price of fresh pineapple fruit, the main raw material.
The subsidiary’s board of directors has not yet passed a resolution to dissolve the company or settle the account in any way. The subsidiary is currently considering a communication management plan to inform business partners, creditors, employees, and other stakeholders about the matter and act on such matters fairly and in accordance with the law.
The suspension of canned pineapple production is an adjustment of the Company’s internal business strategy and will not affect the core business operations of the operating company. This business accounts for approximately 22% of the total revenue. If there is an increase from such operations, the company will further inform.