TAN HONG FOOD LIMITED COMPANY

TAN HONG FOOD LIMITED COMPANY (CÔNG TY TNHH MỘT THÀNH VIÊN LƯƠNG THỰC TÂN HỒNG) is a privately held enterprise located in Roc Muong Hamlet, Tan Hong Commune, Dong Thap Province, Vietnam. Established on December 22, 2011, the company has over 13 years of experience in rice milling and trading—a cornerstone industry in Vietnam’s Mekong Delta, one of the most productive rice-growing regions in the world.

Rooted in Vietnam’s Agricultural Heartland

With a charter and paid-up capital of USD 2.46 million, TAN HONG FOOD is wholly owned by Loc Troi Group Joint Stock Company, a leading agricultural enterprise in Vietnam. Under the leadership of Director Le V. T., supported by Chief Accountant Nguyen V. T. and Chairman Huynh V. T., the company plays a key role in Loc Troi Group’s integrated rice production and supply chain. With 72 employees, the company focuses on milling, processing, and distributing rice to domestic and export markets.

Financial Challenges and Shifting Dynamics

The company has experienced significant financial fluctuations in recent years. Total assets fell sharply from USD 16.1 million in 2023 to USD 5.58 million in 2024, marking a steep 65.36 percent decline. Sales revenue also decreased dramatically, from USD 109.64 million to USD 44.85 million, a drop of more than 59 percent.

Equity remained in negative territory, deepening from -USD 1.72 million in 2023 to -USD 2.68 million in 2024. Net profit likewise showed a negative balance of USD -961,454 in 2024, widening from the previous year’s loss of USD -665,389. Working capital stood at USD -6.56 million, underscoring ongoing liquidity constraints and heavy reliance on external funding or group support.

Core Activities and Strategic Role

TAN HONG FOOD’s main business activity is rice milling and trading, but its operations also span seed processing, vegetable and animal oil manufacturing, wholesale distribution of food and fuels, agricultural machinery, and freight transport by road. This diversified business scope reflects its role as a key operational arm within Loc Troi Group’s agricultural ecosystem.

The company supports the group's larger export strategies by focusing on upstream and midstream segments of the rice value chain—such as milling, storage, logistics, and distribution. Its location in Dong Thap Province provides close access to rice paddies and waterways, ensuring efficient sourcing and transport.

Navigating Toward Recovery

While the company faces financial strain, its strategic position within one of Vietnam’s most prominent agricultural conglomerates gives it stability and growth potential. Loc Troi Group’s backing enables TAN HONG FOOD to weather short-term shocks and maintain its operational role in the rice export value chain.

As Vietnam continues to expand its rice exports to high-demand markets such as the EU, China, and the Middle East, TAN HONG FOOD is expected to benefit from greater integration and modernization efforts, particularly in processing and logistics. A successful turnaround would likely rely on cost restructuring, efficiency improvements, and leveraging Loc Troi’s broader market reach.

TAN HONG FOOD is at a critical point. It faces financial headwinds but is backed by a strong parent group and a strategic location at the heart of Vietnam’s rice basket. With the proper operational adjustments, it remains well-positioned to regain momentum in the coming years.