VAL opens second line of largest soybean crushing complex in Southeast Asia

VAL opens second line of largest soybean crushing complex in Southeast Asia

Vietnam Agribusiness Limited (VAL), a joint venture between Bunge and Wilmar focused on oilseed processing and the supply of food and feed products, inaugurated its second soybean crushing line at Phu My 1 Industrial Park on December 10.

Opening line 2 of the largest soybean crushing complex in Southeast Asia in Ho Chi Minh City on December 10

This 4,000 tons daily processing capacity, combined with line 1 (in operation since 2011), boosts VAL's total crushing capacity to 7,800 tons per day, solidifying its position as the largest soybean crushing complex in Southeast Asia. This development marks a significant milestone for VAL, directly strengthening Vietnam's strategic raw-material security for its livestock and food industries.

The plant is estimated to produce more than 500,000 tonnes of crude soybean oil annually, catering to both domestic consumption and export markets. This elevates Vietnam's standing among the region's leading soybean oil exporters, with significant reach into key markets such as South Korea.

At the event, Nguyen Cong Vinh, Vice Chairman of Ho Chi Minh City People's Committee, stated that the inauguration ceremony stands as vivid testimony to the trust of international investors in Ho Chi Minh City's prospects for robust and sustainable development.

"The new plant is expected to become one of the major agricultural processing projects in Southeast Asia. It will feature modern production lines that meet stringent environmental standards and align with the city's orientation towards high-tech agricultural development," Vinh said.

This investor believes that, with its strategic location in Phu My ward, an industrial, urban, port, and logistics gateway, together with its capacity to supply around 30 per cent of the soybean meal market for the animal feed industry, this project will play an important role in ensuring food security, reducing supply chain risks, and stabilising production costs for the livestock sector. This will increase budget revenue and create thousands of stable, high-income jobs, thereby improving the livelihoods of residents and fostering the city's sustainable growth.

Nguyen Minh Vi, general director of VAL, stated the inauguration of this second soybean crushing line marks a pivotal milestone in VAL's long-term strategy to expand production capacity to meet growing demand in both domestic and international markets.

“It reflects our strong commitment to supporting Vietnam's livestock industry and advancing the nation's strategic goal of securing essential raw materials. With one of the largest integrated production complexes in the region, powered by advanced technology and guided by a sustainability-driven approach, VAL is confident in its ability to deliver meaningful value to our partners and communities, contributing to the development of a modern, self-reliant, and sustainable livestock industry,” Vi said.

Located on an 11.2-hectare site within a strategic industrial hub, the VAL complex stands among the most advanced facilities in the region, purpose-built for maximum efficiency and superior product quality. The complex features eight high-capacity storage silos totalling 120,000 tonnes, equipped with fully automated temperature and humidity control systems to maintain freshness, nutrient stability, and optimal processing standards.

With an investment exceeding $100 million, the new line is engineered to leading international standards, integrating full automation with real-time quality monitoring and control systems.

At full capacity, both crushing lines will annually process up to 2.6 million tonnes of soybeans, producing close to two million tonnes of soybean meal, meeting approximately 30 per cent of Vietnam's domestic animal feed demand.

Vietnam's livestock industry has grown consistently at 3-5 per cent annually over the past two decades, fuelling strong demand for plant-based protein sources like soybean meal.

At full capacity, the plan will annually process up to 2.6 million tonnes of soybeans and two million tonnes of soybean meal, meeting approximately 30 per cent of Vietnam's domestic animal feed demand

VIR