Daol Securities (Thailand) (DAOLSEC) raised GFPT Public Company Limited (SET: GFPT) as its top pick after Saudi Arabia gave a greenlight for 11 Thai factories to export chicken and chicken products.
Citing the Ministry of Commerce’s announcement that the Saudi Food and Drug Authority had given an approval to 11 Thai chicken exporters to ship chicken and related products to Saudi Arabia, starting 11 October, 2022, onward.
The commerce minister expected 6,000 tonnes of chicken exports this year, representing 0.6% of total fresh chicken and processed chicken exports. Meanwhile, Saudi Arabia imports as much as 650 billion tonnes of chicken products annually.
DAOLSEC maintained the Agricultural sector at “Neutral” and chose GFPT as its top pick with a target price at THB19.00 per share.
In March 2022, Jurin Laksanawisit, Minister of Commerce of Thailand, revealed that after the talk with Saudi Food & Drug Authority (SFDA), Riyadh will allow poultry imports from 11 establishments of Thailand.
The share price of GFPT rose as much as 4.41% after the opening bell on Monday to THB14.20 per share.