CPF backs AI to lift food production

Charoen Pokphand Foods Plc (CPF) plans to allocate 20-25 billion baht for investment next year.

Prasit Boondoungprasert, chief executive of CPF, said the company is compiling budget requirements across its business units. Typically it directs capital expenditure towards machinery and equipment, particularly for automation, he noted.

The 2027 budget is expected to allocate a larger share of investment to artificial intelligence (AI)-related initiatives, potentially doubling the previous investment.

Mr Prasit did not disclose the exact proportion of total investment dedicated to AI, emphasising that AI investment will be implemented across all the company's business units, from manufacturing facilities to marketing and sales.

Food security has become a priority for nations over the past five years, driven by the impacts of climate change and geopolitical conflicts, he noted.

Thailand's favourable climate and geographic location could provide the country with a competitive advantage in food production, positioning it as a global food supplier, said Mr Prasit.

However, he questioned whether Thailand is sufficiently prepared for emerging challenges and whether the country has developed the awareness and resilience to cope with changing global climate conditions.

CPF has integrated technologies, including biotechnology, automation and AI, throughout its manufacturing value chain. AI has the potential to create greater value across the food value chain, Mr Prasit said.

For farms, the technology can help predict crop yields and monitor animal health. In factories, AI can enhance predictive maintenance, while throughout the supply chain, it can improve planning and product traceability.

At the customer level, AI enables greater personalisation, according to CPF.

The company remains committed to improving its products and enhancing production efficiency, said Mr Prasit.

To support Thailand's development, CPF plans to invest in local workers, helping to enhance the competitiveness of farmers and small and medium-sized enterprises.

Thai cuisine is gaining popularity worldwide, offering an opportunity for CPF to promote Thai ready-to-eat meals in international markets, he noted.