Linfox on 25 years in Thailand and plans for South East Asia

South East Asia is expected to be the largest segment of the global market for beverages according to transport and logistics company, Linfox.

Growth and disruption is reported to be hallmarks of the South East Asian beverage market in the years to follow as new players seek to tap into that growth.

Despite growth in South East Asia’a markets, Linfox claims that getting the goods to market will be a challenge due to poor infrastructure and administrative systems not built for the scale required. Other challenges include skills shortage and evolving regulatory frameworks which vary from country to country in the region.

Linfox has had a presence in South East Asia for 25 years. In 2018, Linfox International Group (LIG) and Thailand brewer, Boon Rawd Brewery, formed a joint venture for the exclusive provision of logistics services to Boon Rawd’s beverages business in Thailand. This joint venture led to the formation of BevChain Logistics Thailand.

Wang Noi in Bangkok is BevChain Logistics Thailand’s main distribution centre (DC), three regional DCs (Khon Kaen, Surat Thani and Chiang Mai) and other smaller DCs in key areas.

More than 800 employees and contractors operate 15 warehouses and DCs as well as nine factories, bolstered by a company and contractor fleet.

Linfox said that safety has been a priority from the beginning at BevChain Logistics Thailand. The business has built a proactive safety culture by training staff on personal protective equipment, load restraint, forklift driving, manual handling techniques, incident investigation and toolbox communications.

The first ‘Stop For Safety’ program was held in April in the lead up to the Songkran peak – Thailand’s New Year celebration.

“This was an opportunity for the senior leadership team to engage with people face-to-face and reinforce the message about safe driving and warehouse practices,” said BevChain Logistics Thailand Managing Director, Matt Sheridan. “The team put in a fantastic performance – more than 10 million cases were delivered and over five million cases passed through the warehouses each week.”

BevChain Logistics Thailand has invested in newly designed high-capacity trailers to improve safety and boost efficiency across the factory shuttle network.

“In just six months, we have made great progress towards competing in the local market and providing a safe and high-quality service,“ said Sheridan.

“By consolidating volume and services for existing and new customers we can lower costs and provide much more value across the supply chain, while helping them grow in their home markets and reach emerging markets of Cambodia, Laos, Myanmar and Vietnam.”

BevChain Logistics Thailand, according to Linfox, is on track to become a leading industry solution offering back-of-factory services through to consolidation and delivery.

“This important groundwork positions us to expand our service offering and leverage our network for new customers keen to grow and expand,” said Sheridan.

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