Vitasoy readies new line to take on Nestle brand for tofu top spot

Vitasoy International Holdings, which sells soya-based drinks and other beverages, will spend more than HK$20 million to launch its new tofu products as it seeks to diversify from the beverage sector.

The firm expected the three tofu products to start returning profits in three years, chief executive Larry Eisentrager said.

Vitasoy said its tofu, sold under its Sansui brand, was made with organic soyabeans that had not been modified genetically and were free of preservatives and insecticides.

Analysts say Vitasoy's stress on organic soyabeans is aimed at taking advantage of the fact that the Consumer Council in 2003 found Nestle's Pak Fook fresh soya milk and beancurd dessert contained 0.1 per cent of genetically modified content. Sansui and Pak Fook have already been battling it out for the fresh soya milk market in Hong Kong.

Vitasoy is launching silken and scallop-flavoured tofus and tofu dessert starting from HK$6.90 for 220 gram packs to HK$15.20 for 350 grams. 'Looking at the price and product description, it's obvious that Vitasoy is challenging Pak Fook's leading position in the tofu market,' said an analyst.

Mr Eisentrager said: 'The soyabeans are sourced from northern China ... and the products are made in Hong Kong.'

Vitasoy had no plans to sell its tofu products on the mainland, he said.