Ajinomoto to Accelerate Market Development in West Africa
Since the establishment of West African Seasoning Co. Limited (WASCO) in Nigeria in 1991, AJI-NO-MOTO has mainly been sold by that company through local distributors.
Oct 21 2011 --- Ajinomoto Co., Inc. announced that it plans to establish a sales company in Côte d'Ivoire in December 2011 to handle seasonings and processed foods for the consumer market. The new company will begin importing and selling umami seasoning AJI-NO-MOTO in January 2012, and will further the Ajinomoto Group's market development in West Africa.
Strengthening and growing the overseas consumer foods business is one of the key principles of the 2011-2013 Medium-Term Management Plan aimed at making Ajinomoto Co. a genuine global company. To accomplish this, Ajinomoto Co. is planning to expand into new regions and business areas while strengthening its existing businesses.
Ajinomoto Co. has been working to expand sales of AJI-NO-MOTO in West Africa for more than 20 years. Since the establishment of West African Seasoning Co. Limited (WASCO) in Nigeria in 1991, AJI-NO-MOTO has mainly been sold by that company through local distributors.
The 11 countries in West Africa that will comprise the sales area of the new company have a large total population (approximately 113 million as of 2009), and share common languages (French and English) and currencies (primarily the CFA franc). Countries that use the CFA franc form a single economic and monetary union.
These countries also have food cultures similar to that of nearby Nigeria. Potatoes and rice are staple foods, accompanied by soup. AJI-NO-MOTO goes well with these foods. Moreover, markets for umami seasonings and flavor seasonings already exist in West Africa, and further growth of these markets can be expected.
The new subsidiary will initially import and sell WASCO's AJI-NO-MOTO finished product. Viewing West Africa as a single area with Côte d'Ivoire as its base, the company will leverage Ajinomoto Co.'s direct cash sales expertise established in the ASEAN region and developed at WASCO to strengthen its sales and marketing activities. A repacking plant* is currently under construction in an industrial complex outside Abidjan. The plant is scheduled to begin operating in January 2013. Starting with sales of AJI-NO-MOTO, the company plans to extend its product lineup to flavor seasonings and processed food products. It is targeting sales of approximately JPY 2.5 billion in 2016.
