Ajinomoto Co., Inc. Completes Construction of a Packaging Plant for Umami Seasoning AJI-NO-MOTO® in Myanmar and Restarts Sales of Locally Packaged Products Accelerating Business Expansion in Myanmar

TOKYO, September 14, 2017 – Myanmar Ajinomoto Foods CO., LTD. (“MAF”), an affiliate of Ajinomoto Co., Inc. (“Ajinomoto Co.”), has invested approximately USD 10 million (approximately JPY 1.1 billion) to build a packaging plant for umami seasoning AJI-NO-MOTO® that began full-scale operation in August of this year and started sales in Myanmar. A completion ceremony is scheduled to be held at the site on September 19. By strengthening its marketing activities along with the start of local packaging, MAF will accelerate its business expansion in Myanmar. Going forward, MAF will work toward early achievement of “No. 1 in Deliciousness” by further expanding and enhancing other product categories.

In 1996, Ajinomoto Co. established Myanmar Ajinomoto Industry Co., Ltd. in Yangon to package and sell AJI-NO-MOTO®, but due to changes in business conditions, the company suspended business activities in April 2000. In light of progress in Myanmar’s policy of opening up its economy since 2011, exports of AJI-NO-MOTO® from Ajinomoto Co., (Thailand) Ltd. for sale in Myanmar began in 2012. Due to further progress of the country’s economic openness since then, Ajinomoto Co. newly established MAF in February 2016 and has been preparing to restart local packaging and sales.

Myanmar has a population of approximately 51 million and a GDP growth rate of approximately 6.3% (Japan External Trade Organization estimate for 2016), with high economic growth forecast to continue. With annual umami seasoning consumption of approximately 52,000 tons (a year-on-year increase of 2%; Ajinomoto Co. estimate for fiscal 2016), Myanmar is a highly promising market in the ASEAN region with a market scale following Vietnam, Indonesia and Thailand. Umami seasoning is widely used in households in Myanmar, mainly for curry dishes.

Backed by these changes in circumstances and the market situation in Myanmar, Ajinomoto Co. restarted local packaging and sales of AJI-NO-MOTO® through MAF. Since August, MAF has been conducting sales of three sizes – 50g, 250g and 500g packages – in Yangon. MAF will successively expand its sales to Mandalay and elsewhere, with the intention of covering all of Myanmar in the future. The realization of local packaging will enable MAF to leverage the advantage of Ajinomoto Co.’s direct cash sales experience in the ASEAN region, which it had previously been unable to do, and to conduct its own marketing activities, including advertising.

In the same Thilawa Special Economic Zone, Ajinomoto Co. has invested approximately USD 22 million (approximately JPY 2.4 billion) to build a plant for “Birdy®” 3 in 1 powdered beverages. The plant is currently under construction, and the start of sales is scheduled for April 2018. In addition, a production line for Ros Dee® flavor seasonings is scheduled to be installed at the AJI-NO-MOTO® packaging plant during 2018. With these initiatives, MAF will expand the product lineup together with AJI-NO-MOTO® to accelerate growth of the business in Myanmar to over JPY10 billion at an early stage.

Ajinomoto Co. has made the reliable growth of its food business with a stronger regional portfolio a key strategy in its FY2017-2019 Medium-Term Management Plan. Among new regions (the “Rising Stars”), Myanmar is expected to quickly generate results with the start of direct sales activities, and Ajinomoto Co, will accelerate business expansion there by proactively launching powdered beverages and flavor seasonings in addition to AJI-NO-MOTO® products. Ajinomoto Co. will contribute to the health and well-being of local consumers through the development of product categories adapted to the food culture and eating habits in each country and region.

Ajinomoto Co. is a global manufacturer of high-quality seasonings, processed foods, beverages, amino acids, pharmaceuticals and specialty chemicals. For many decades Ajinomoto Co. has contributed to food culture and human health through wide-ranging application of amino acid technologies. Today, the company is becoming increasingly involved with solutions for improved food resources, human health and global sustainability. Founded in 1909 and now operating in 30 countries and regions, Ajinomoto Co. had net sales of JPY 1,091.1 billion (USD 10.07 billion) in fiscal 2016. For more about Ajinomoto Co. (TYO: 2802), visit www.ajinomoto.com.

Ajinomoto Co., Inc. Public Communications Department; pr_info@ajinomoto.com