American Lorain Corporation (NYSE MKT: ALN) ), an international processed snack foods, convenience foods, and frozen foods company based in Shandong Province, China, last week announced the cooperation with TaiMei Potato Industry Ltd. ("TaiMei Potato"), acquired by the world's leading potato products supplier Lamb Weston in 2014. Both of the companies have reached an agreement that TaiMei Potato will help to manufacture the Lorain brand french fries.
In 2015, the Company decided to diversify and enrich the categories of its potato products to fulfill the needs of different preferences. One of the strategies is to procure potatoes domestically in China and labeled as a Lorain branded product.
TaiMei Potato is a well-respected company with a strong background and solid manufacturing capabilities. The products include straight cut fries, mashed potato, and wedges etc. TaiMei Potato has the production line which is capable of producing 10 tons of chips per hour, this is currently one of the most advanced in China.
Mr. Si Chen, Chairman and CEO of American Lorain:
"We all find it so exciting to work with TaiMei Potato in China. American Lorain has been working on the potato product segment for many years."
"We have maintained substantial resources and experience, and we are very confident with TaiMei Potato becoming our OEM factory and providing us with high-quality products."
"American Lorain will have TaiMei Potato manufacture about 2000 tons of regular french fries at this time. But we do see more potential opportunities in the future for both companies."
"We believe this cooperation would not only help us implement the strategy, but also create more opportunities to expand Lorain branded products overseas."