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1990s
The phasing out of slaughtering of chickens in wet markets and the introduction
of centralised chicken slaughtering at licensed slaughterhouses in 1992 proved
to be a turning point for Chew Koh.
To Chew Koh, it was a timely opportunity to corporatise his business and to develop it into an integrated chicken supply chain that encompasses slaughtering, distribution and further processing of chickens. In 1991, KSB Distribution was incorporated for such a purpose. However, Chew Koh, having assessed the uncertainties that characterised the chicken slaughtering business at that time, decided to outsource the slaughtering functions to third-party slaughterhouses. Live chickens were delivered directly from farms in Malaysia to the contracted slaughterhouses.
Chew Koh’s decision marked the start of a rewarding partnership with Soonly, one of the few licensed slaughterhouses that operated from its own premises at 4 Senoko Way. In April 1999, Chew Koh realised his dream of running an integrated chicken supply chain business when he and his son, Chew Ghim Bok, our Chief Executive Officer, purchased a 90% equity stake in Soonly. The acquisition was followed by investments to rationalise Soonly’s operations into a highly automated plant. Machinery made in Europe was installed to automate the slaughtering process, aimed at improving productivity and attaining a high standard of product quality.
At the same time, they activated KSB Distribution
to import live chickens from Malaysia and develop its own customer base, with
a view to consolidating the Group’s entire business except slaughtering
services under it.
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