Bhutan
3.5.1 Bhutan Food Suppliers
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Overview

Most of the Bhutanese population consumes rice, maize, millet, potatoes, pulses, fruits, and vegetables. Bhutan continues to rely on food imports from India as the in-country manufacturing capacity is very limited. The major wholesalers and distributors of Fast Moving Consumer Goods (FMCG) are Tashi Commercial Corporation (TCC), Food Corporation of Bhutan Ltd (FCBL), Damchen Agencies, 8-Eleven and Zimdra Food Private Limited. All these companies import food from India and distribute within Bhutan. While there are many small scale wholesalers and retailers spread throughout the country.

4.10 Bhutan Supplier Contact List

Retail Sector

The retail sector in Bhutan is generally dominated by small sale retailers who buy from main wholesalers like FCBL, TCC, Damchen Agencies, 8- Eleven and Zimdra and sell to the final consumers. It is important to note that most of the whole sellers purchase their stocks from India as they have obtained franchise rights from major companies.

 

Types of Retailers Available

Type of Retailer

Rank

(1-5, in which relatively 1 is the most commonly used by the population and 5 is the least)

Supermarket – concentrates mainly in supplying a range of food, beverage, cleaning and sanitation products; have significant purchasing power; are often part of national/regional/global chains[p2] .

 

4, Supermarkets are common only in major towns like Thimphu, Phuentsholing and Paro and most people still buy from the small convenience shops. It should also be noted that what is here classified as supermarkets would be seen as large convenience stores in most other countries.

Convenience Store/Mini Market – medium sized shop; offers a more limited range of products than supermarkets; usually has good/stable purchasing power; may be part of chain or cooperative.

3

Permanent shop with strong supply capacity individually/family owned store; usually offers fewer commodities and a limited selection of brands; good storage and reliable supply options.

3

Permanent shop with limited supply capacity individually/family owned store; offers fewer commodities and a limited selection of brands; limited storage and unstable supply options.

1 (Most of the retail outlets in Bhutan fall under this category)

Mobile Shop/Market Stand individually/family owned store; usually offers fewer commodities and a limited selection of brands; may be found at outdoor markets, camps or unstable environments.

 


Wholesale – Tashi Commercial Corporation

The Tashi Group of companies is the largest privately owned group of companies in Bhutan with over 40 subsidiaries companies. Tashi Commercial Corporation (TCC) is one of them established in 1985. TCC runs a chain of supermarkets and FMCG wholesale business throughout Bhutan. From its six main departmental stores/hubs, five are located in Phuentsholing, Thimphu, Gelephu, Paro, Samdrup Jongkhar and Wangduephodrang. TCC is the franchise holder of over 50 reputed companies from India and abroad. TCC also own 55 marketing vans which do mobile marketing and reaches to consumers located in the remote places.

More information of Tashi Group can be found at:

http://www.tashigroup.bt/

 

Supplier Overview

Company Name

Tashi Commercial Corporation

Address

BOC Petrol station, Phuentsholing Thromde

Does the supplier have its own production / manufacturing capacity?

 

Yes, the supplier produces confectionary, juices and beer.

Does the supplier have its own retail capacity?

 

Yes, the supplier has five departmental stores located in six different towns of Bhutan (Phuentsholing, Thimphu, Gelephu, Paro, Samdrup Jongkhar and Wangduephodrang)

Does the supplier have its own transport capacity?

Yes, they have 55 marketing and delivery vans.

Does the supplier have its own storage facilities?

Yes, 25,000 sq ft  (2,300 sqm) at Phuentsholing and all departmental stores have anywhere between 8,000-12,000 sq ft (750 – 1,100 sqm).

Approximate Turnover in MT

Average monthly turnover is around BTN 40 million (approximate)

Payment Methods Accepted

Cash, cheque, bank transfer and bank draft. They also provide credit facilities to their regular customers.

Other Comments or Key Information

TCC is the largest wholesaler and retailer in the country.

 

Other Locations

Region(s)

Service Location(s)

Thimphu.

Near Clock Tower

Gelephu

Gelephu Thromde

Samdrup Jongkhar

Samdrup Jongkhar Thromde

Paro

Paro Town

Wangduephodrang

Bajo Town

Primary Goods / Commodities Available

Commodities by Type**

Comments

00 - Live animals (other than fish, crustaceans, molluscs, etc.)

NA

 

01 - Meat and meat preparations

NA

 

02 - Dairy products and birds’ eggs

Yes

Processed dairy products

03 - Fish (not marine mammals), crustaceans, molluscs…

NA

 

04 - Cereals and cereal preparations

Yes

 

05 - Vegetables and fruit

Yes

 

06 - Sugars, sugar preparations and honey

Yes…

 

07 - Coffee, tea, cocoa, spices and manufactures thereof

Yes

 

09 - Miscellaneous edible products and preparations

Yes

All kinds of grocery items consumed by Bhutanese.

41 - Animal oils and fats

NA

 

42/43 - Fixed vegetable fats and oils, crude, refined or fractionated

Yes

 


Wholesale – SUPPLIER CHHARU TSHONGDEL

Chharu Tshongdel is relatively a new supplier in Bhutan. Though new, it is better equipped than other local suppliers because it has the capacity to mill and fortify rice, which is an advantage for WFP Bhutan. Perhaps this is the only local supplier which can compete at regional level as it has a milling as well as fortification facilities. No other wholesaler in Bhutan has such facilities. However the limitation of this company is that it specialises only in rice and deals with no other commodities.

 

Supplier Overview

Company Name

CHHARU TSHONGDEL

Address

Dhamdara Industrial Area, Phuentsholing Thromde

Does the supplier have its own production / manufacturing capacity?

 

No, however the supplier has Rice milling and fortification facility.

Does the supplier have its own retail capacity?

 

No, It supplies to humanitarian agencies like WFP and small retailers.

Does the supplier have its own transport capacity?

No, they hire transporters as and when required.

Does the supplier have its own storage facilities?

Yes , up to 400 mt.

Approximate Turnover in MT

 

On an average the wholesaler is able to make a turnover of around 400 mt a month.

Payment Methods Accepted

Cash, cheque, bank transfer and bank draft.

Other Comments or Key Information

The wholesaler is quite new. The company started only from 2015. However, so far the company has delivered as per the contractual terms with WFP.

 

Other Locations

Region(s)

Service Location(s)

CHHARU TSHONGDEL operates only in Phuentsholing region at the moment.

NA

Primary Goods / Commodities Available

Commodities by Type**

 

Comments

00 - Live animals (other than fish, crustaceans, molluscs, etc.)

NA

 

01 - Meat and meat preparations

NA

 

02 - Dairy products and birds’ eggs

NA

 

03 - Fish (not marine mammals), crustaceans, molluscs…

NA

 

04 - Cereals and cereal preparations

Rice

The wholesaler at the moment supplies only rice.

05 - Vegetables and fruit

NA

 

06 - Sugars, sugar preparations and honey

NA …

 

07 - Coffee, tea, cocoa, spices and manufactures thereof

NA

 

09 - Miscellaneous edible products and preparations

NA

 

41 - Animal oils and fats

NA

 

42/43 - Fixed vegetable fats and oils, crude, refined or fractionated

Na

 

 

Wholesale – Zimdra Food Private Limited

Zimdra Food Private Limited (ZFPL) was established in 2004 to cater to the FMCG market of Bhutan. The unit mostly deals in imported consumer goods and beverages from third countries. The Management of Zimdra Industries understands that the consumer market has high potential in Bhutan and its growing with the increase in the population and economic standard of the nation. ZFPL also manufactures processed milk, and a variety of juices.

For more information visit their website:

      http://zimdrafood.com

 

Supplier Overview

Company Name

Zimdra Food Private Limited

Address

Above main traffic, Thimphu Thromde

Does the supplier have its own production / manufacturing capacity?

 

Yes, the supplier produces processed milk and a varieties of, juices on the basis of imported milk and concentrate respectively.

Does the supplier have its own retail capacity?

 

Yes, the supplier has two supermarkets in Thimphu and Phuentsholing.

Does the supplier have its own transport capacity?

No, it relies on hired transport.

Does the supplier have its own storage facilities?

Yes , 25,000 sq ft (2,300 m2) at Phuentsholing and 10,000 sq ft (930 m2)at Thimphu.

Approximate Turnover in MT

 

Average monthly turnover is around BTN 20 million (approximate)

Payment Methods Accepted

Cash, cheque, bank transfer and bank draft. They also provide credit facilities to their regular customers.

Other Comments or Key Information

ZFPL is an emerging wholesaler and retailer and has prospect to expand its business to other parts of the country as well.


Wholesale – Food Corporation of Bhutan

The Food Corporation of Bhutan Ltd (FCBL) was established under Royal Charter issued on 16th August 1974 by His Majesty the Fourth King in order to institutionalize a centralized procurement and distribution system of essential food supplies in the country. Today FCBL functions independently with no financial liabilities and dependence on the government. One of the main mandates of FCBL is to maintain national food security reserve in case of emergencies. Other mandates include;

  •       Procurement and distribution of food grains and other essential commodities for the country including institutional supplies.
  •       Promote trade in agricultural and horticultural produce to ensure fair prices for both growers and consumers. .
  •      To construct and operate adequate warehouses across the country to facilitate food items storage and distribution.
  •      To manage and operate auction centres as a convenient market place of trading for growers and buyers.
  •      To facilitate marketing of domestic products through the auctioning system while generating meaningful revenues to the corporation for long term sustainability.
  •      Administer and supervise the functioning of the Cooperative Marketing Societies in Bhutan.

FCBL has 47 warehouses across the country and some 119 farm shops through which, it sells food commodities to the public at a reasonable price. The number of farm shops is expected to increase to 205 in the coming years.

For more information visit their website:

www.fcbl.bt/

Supplier Overview

Company Name

Food Corporation of Bhutan Limited (FCBL)

Address

Phuentsholing, Thromde

Does the supplier have its own production / manufacturing capacity?

 

No

Does the supplier have its own retail capacity?

 

Yes, the supplier has 47 warehouses spread throughout the country and 119 farm shops located in the remote part of the country.

Does the supplier have its own transport capacity?

Yes, there are presently 36 vehicles of different capacities owned by FCB.

Does the supplier have its own storage facilities?

Yes, the total capacities of all warehouses and transit stores are 19,000 MT.

Approximate Turnover in MT

 

Average monthly turnover is around BTN 70 million (approximate)

Payment Methods Accepted

Cash, cheque, bank transfer and bank draft. They also provide credit facilities to their regular customers.

Other Comments or Key Information

 

 

Other Locations

Region(s)

Service Location(s)

Gelephu

Gelephu, Thromde

Samdrup Jongkhar

Near the Dzong

Thimphu

Changzamtok

Primary Goods / Commodities Available

Commodities by Type**

Comments

00 - Live animals (other than fish, crustaceans, molluscs, etc.)

NA

 

01 - Meat and meat preparations

NA

 

02 - Dairy products and birds’ eggs

Yes

 

03 - Fish (not marine mammals), crustaceans, molluscs…

NA

 

04 - Cereals and cereal preparations

Yes

 

05 - Vegetables and fruit

Yes

 

06 - Sugars, sugar preparations and honey

Yes

 

07 - Coffee, tea, cocoa, spices and manufactures thereof

Yes

 

09 - Miscellaneous edible products and preparations

Yes

 

41 - Animal oils and fats

NA

 

42/43 - Fixed vegetable fats and oils, crude, refined or fractionated

Yes

 

 

**For non-FOOD products please see section 3.5.2 Additional Suppliers, and for FUEL/PETROLEUM products please see section 3.1 Fuel.

Disclaimer: Inclusion of company information in the LCA does not imply any business relationship between the supplier and WFP / Logistics Cluster, and is used solely as a determinant of services, and capacities.

Please note: WFP / Logistics Cluster maintain complete impartiality and are not in a position to endorse, comment on any company's suitability as a reputable service provider.

 

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