ARICO AGM: Research New Technology, Focusing on R&D for Success

On Saturday, May 15th, 2021, Asia Refrigeration Industry Joint Stock Company (ARICO) has successfully organised The Annual General Meeting of Shareholders of Fiscal Year 2020 at the headquarter at Tan Tao Industrial Zone, Binh Tan District, Ho Chi Minh City. Receiving the full approval, the Meeting has passed the business plan for the fiscal year 2021, with the revenue target of 500 billion VND (25% increased compared to last year). The key strategy for 2021, as well as the vision for 2025, is to advance the R&D of core products, focusing on the industrial refrigeration solution for agriculture, aquaculture, and food processing industry; as well as the storage and Smart Warehouse to perfect the logistic infrastructure. In order to do so, ARICO will cooperate with both domestic and international strategic investors, leveraging the financial capacity, aiming to increase their export rate.

Timely adjust policies, stabilise the production and business

Throughout 2020, when COVID-19 affects every single business on a global scale, ARICO quickly and decisively made innovation, timely adjusted bidding process, restructure the business organisation,… All those efforts have returned with the sales result reached 467 billion VND, achieving 117% of the proposed plan, and acquired revenue of 356 billion VND, achieving 94% of the plan.

According to Mr Huynh Khoi Binh – ARICO’s CEO, in the first 4 months of 2021, the bidding winning rate of the Company is much higher than the previous period, reaching almost 50% of 2021’s target. In the sales ratio, industrial refrigeration solution and food processing projects take up to 65%, further enhance ARICO’s position in the market.

Furthermore, the potential of the industrial refrigeration and food processing industry has been becoming more and more attractive, with the EVFTA took effect from August 1st, 2020, creating more chances for the Vietnamese export market.

The demand for Cold Storage and Warehouse in Vietnam’s Logistics industry is huge, while the current capacity only reaches up to 30% – 35%. Even though the domestic consumption trend is similar to the world, the processing system in Vietnam is still not on par with its position. ARICO clearly understands that developing a full solution for industrial refrigeration and high technology food processing systems is the future path.

Catching up with the global trend, ARICO further invested in R&D of technology innovation, utilising the boons from the 4.0 industrial revolution, aiming toward automating the production process, cut down the reliance on human labour, further increasing the productivity in food processing, ensuring the food safety and security.

People are the Core, Prepare Resources for Long-term Development  

Employees are the ones that make customers consider us as the leading company”, Mr Nguyen Dong Khoi – Sale Director of ARICO – stated in the Meeting. “Customer is king, and the employees are the most important sector of customers. Our employees work directly with the customers, they are the company’s representatives; the customers also consider our employees as the company itself, thus, each employee must consider themselves as the company embodiment.”

At ARICO, people are considered the most essential factor on the road to success. Over the years, the Company has clearly and especially showed their care for employees’ lives, from personal life to life at work through benefits and promotions.

Additionally, the BOD emphasised continuing to adjust and simplify the human resources, especially toward managerial positions and key personnel, thus increasing productivity, revenue, profit per capita, and the average income for the employees. Moreover, ARICO is putting more effort into building corporate culture, enriching employees’ spiritual life, deepening bonds between members, and heightening the pride of being an ARICO person.

Strengthening R&D, Boosting Vietnam’s Ability as the Leading Agriculture Exporter

The world is shifting from “ready-to-ship” products to “ready-to-eat” goods. Vietnam government has issued resolutions on encouraging efficient, safe, and stable agriculture investment.

By 2030, Vietnam’s agriculture will rank amongst the global top 15 most developed country, in which the agriculture processing industry will be in the top 10. Vietnam is set to be one of the world’s agricultural product deep processing centres and agricultural commerce logistics hubs. Agriculture corporations are deemed as the backbone in the course of accelerating the production of agricultural goods toward manufacturing, hence raising the competitive edges of Vietnam’s agriculture products.

“Vietnam will be one of the biggest agriculture and aquaculture exporter in the world. Therefore, our food processing technology must as well be on par with our position as the leading exporter.”

– Mr Le Tan Phuoc, Chairman of ARICO, spoke at the Meeting.

Reaffirming the mission for 2021 “Breakthrough the obstacles, toward the future”, the Company set their mind to become the best contractor and solution provider in the fields of industrial refrigeration and cold warehouse in Vietnam, the producer and one-stop service provider for the food process industry in the whole Asia area. Consequently, while the export activity is under hardship, ARICO is shifting its focus into concreting, further consolidating the ability in the domestic market, maintaining the position of Vietnam’s leading industrial refrigeration system manufacturer and assembler, especially in fields of food processing, medical, cold storage system and warehouse for the logistic industry. Once the export activity is thorough, ARICO will accelerate, take up the potentials of the future market. As shared by Mrs Nguyen Thi Thanh Huong, BOM member of ARICO, at the Meeting:

“To reach revenue of 1,000 billion VND and a profit of 100 billion VND in 2025 is not too far fetched if the Company is persistent in following up the proposed development directions.”