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DATE 01 Jun 2004
Foodtech Products has earned the recognition of being the first cheese processing plant based in Singapore. Despite this accomplishment, the company is hardly resting on its laurels. Recently, SI News visited its new factory and met with Managing Director Iizuka Masayuki.
The use of processed cheese in Singapore's food industry is widespread. Incorporated and consumed in many foods such as breads and pastries, this integral ingredient is imported from overseas. However, one enterprising company - Foodtech Products Pte Ltd - is looking to change the current scheme of things by being the first and only player specialising in the manufacture of processed cheese, specifically for the Asian market.
Ironically, Foodtech probably would not have existed if it hadn't been for the Asian region's slight aversion towards the natural taste of untreated cheese. While cheese is undoubtedly a universally consumed food today, it had long been regarded as a traditional "Western" food that did not quite appeal to Asian palates.
Then came the advent of processed cheese in the 1910s, which involved the combining of chemical additives and new process technology using natural cheese to alter taste, appearance, texture and shelf life properties. Since then, this technological breakthrough has spread all over the world - most notably to Japan, which has an over 50-year history of processed cheese consumption.
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MAKING BUSINESS SENSE
Two reasons jumpstarted Foodtech's entry into Singapore: The success of Japanese processed cheese and its applications in other foods, as well as a keen observation and understanding of Asian food preferences. Incidentally, Foodtech's parent company - the Lacto Japan Group - is itself a Japanese trading house specialising in dairy products. And though its fledgling subsidiary Foodtech began operations in Singapore only in March this year, the idea for this undertaking actually began more than 10 years ago, as Iizuka Masayuki, Managing Director of Foodtech, revealed.
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"In the South-east Asian market, we found most Asian people, especially Chinese people, don't like the taste of cheese," said Iizuka. "However, these same people enjoy eating pizza or cheesecake. Why? The answer is simple - the food is tasty. So we thought that if we could cast our net wider and produce some kind of cheese that would make more food taste better, then there would be a market...and this formed the basis for our idea." Iizuka saw the Lion City as a springboard to the rest of Asia...[and its] diverse and fusion-vibrant food industry provided ample opportunities... HAVE OPPORTUNITY, WILL TRAVEL
Despite the relatively small size of the Singapore market, Iizuka was undeterred. Rather, he saw the Lion City as a springboard to the rest of Asia, and as an ideal base for Foodtech to build up a strong and trusted reputation. Iizuka realised Singapore's diverse and fusion-vibrant food industry provided ample opportunities for Foodtech to supply its processed cheese offerings to not just bakeries and confectioneries, but also to food manufacturers involved in producing "unconventional items, ranging from Chinese pau to fish balls to any other Asian delights imaginable. There is no limitation for the application as long as you think freely without any prejudice." He also revealed that despite the company's short time here, it has already succeeded in making inroads to other neighbouring countries such as Vietnam and Thailand.
"We have chosen Singapore as our production base for two prominent reasons. Firstly, Singapore's EDB had shown keen interest and provided great support in facilitating our achievement of becoming the first manufacturer of such functional processed cheese in South-east Asia," acknowledged Iizuka.
"Secondly, we find that Singapore is well-positioned, through its close economic and political ties within ASEAN as well as the greater China region and its participation in the ASEAN Free Trade Area (AFTA). This allows us to trade more easily with its neighbouring countries - our target market segment."
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Foodtech's cheese processing factory in Kampong Ampat, one of Singapore's two designated zones for industrial food manufacturing
MADE IN SINGAPORE FOR THE WORLD
More than three months into operation, and all is smooth sailing at Foodtech's cheese processing factory in Kampong Ampat, one of Singapore's two designated zones for industrial food manufacturing. "In the initial stage, we need to give the workers time to adjust," explained Iizuka, "but our objective is to produce two tonnes of processed cheese a day and our ultimate target is 10,000 tonnes a year. This is our challenge but not an impossible figure to achieve with our good teamwork." Foodtech's cheese products come in traditional blocks, diced cubes, and are also available in heat resistant and spreadable variants.
The company has achieved Halal certification for its product and is now aiming for a HACCP (Hazard Analysis Critical Control Point System) certification that will help boost reputability and operations by several notches. An international food manufacturing safety benchmark, the HACCP is a management system used to protect food supplies against microbiological, chemical and physical hazards through stringent identification, evaluation and control procedures. For quality control, Foodtech has implemented various methods that include testing of pH, microbiological hazards, heat resistance/meltability, as well as moisture, to ensure the final product that rolls out of its factory meets the highest standards.
STAYING AHEAD
While being the pioneer in the industry is a great distinction for Foodtech, it is an achievement that nevertheless comes with its fair share of challenges. "When we started this project, we tried to do so in a low profile way," Iizuka disclosed. "But now many other Japanese companies are already aware of what we are doing and are monitoring our operations. If they find that what we're doing is successful, they will probably enter as a bigger scale newcomer."
Despite this, the managing director remains confident. "We welcome new competitors," he smiled, "as competition will drive us to continually innovate." Iizuka's confidence also stems from his belief that the company already has a firm client servicing strategy in place that is likely to give it an edge when that time comes. Nevertheless, he is covering all bases as best as he can at the moment. "We are here to produce a cheese but we do not want to be just a seller of cheese," he said. "When we approach customers, we listen to their needs. Based on that kind of request we try to modify and personalise our products [through our internal R&D and third party flavouring partners] and most importantly, through our circle of people."
So far, orders have been encouraging, and the company is already facing some space constraints at its present unit, prompting it to expand its floor space early. A cold section and another processing area is being built in the next unit, which is projected to be up-and-running in about two months.
For Foodtech's Iizuka, who sticks to the mantra of "thinking positive", he will have success through no other way but hard work, perseverance - and an enormous dose of passion. That also explains why he's content at the moment to handle the bulk of sales and marketing himself: "I'm enjoying it very much!" he laughed, as a parting note.
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