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Srithai Superware's melamine plates & dishes, known by all, may soon be manufactured in nearby Burma.

Photo above of screen shot taken from Srithai Superware's website which displays some of the melamine tableware products it produces in its factories.
 
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Srithai mulls Myanmar move, Too few workers, too high wages at home by Pitsinee Jitpleecheep

Srithai Superware Plc, the world's leading melamine producer, is looking to Myanmar as a production base in the near future.

President Sanan Ungubolkul will visit the country soon to look for potential locations to set up a new factory.

Srithai has about 700 workers from Myanmar at its factory in Thailand and operates its SNatur direct-sales business in Myanmar, achieving a positive response. It plans to set up a branch office for direct sales in that country this year.

Mr Sanan said if the company does build a new plant in Myanmar, it will invest 50 million baht and use it as a production base for exports.

Srithai exports melamine products to over 100 countries.

"We can't expand our production capacity in Thailand due to the labour shortage and higher wages. Myanmar and Vietnam are alternative bases," said Mr Sanan.

The planned hike in the daily minimum wage means Srithai plans to raise its product prices in April.

The embargo on Iranian oil has driven up oil prices and thus costs, another factor in the company's decision.

Apart from Myanmar, the company will spend almost 300 million baht to produce closure products at its factory in Vietnam.

Registered capital of Srithai Vietnam will go up to 335 million baht this year from 270 million.

The closure products will serve a giant soft drink firm in Vietnam as part of a three-year contract. The first delivery will start in August.

This will push sales in Vietnam this year to 540 million baht, up from 340 million last year, before rising to 600 million in 2013.

In Thailand, the firm is poised to spend one billion baht on investment this year.

Some 100 million baht will be used to expand its melamine business at its factory in Nakhon Ratchasima province, 600 million will be used for its plastic products and the remaining 300 million is for expanding its direct sales business and overseas investment.

For SNatur direct sales, it plans to expand to Cambodia and Indonesia before reaching 10 countries in a few years. Sales of SNatur are expected to reach 460 million baht this year, up from 353 million last year.

Srithai's total sales this year are projected to reach 7.8 billon baht, up from 6.65 billion last year.

SITHAI shares closed on the Stock Exchange of Thailand at 8.70 baht, down 10 satang, in trade worth 1.23 million baht.

(Source: Bangkok Post, Srithai mulls Myanmar move, Too few workers, too high wages at home, 26/01/2012, Pitsinee Jitpleecheep, link) 

Business Strategy Vocabulary

melamine - a chemical used to make a very durable plastic used to make products including countertops, housewares, dinnerware, cooking spoons, dry erase boards, fabrics, glues, foam paneling, colorant in inks and plastics, fire-retardant additives in paints, plastics, and paper: "Melamine is a kind of plastic, normally it is in powder form. It composes of alfacellulose, melamine crystal and formaldehyde solvent. Properties of melamine are heat resistance, hardness, durability and break resistance. It is safe for temperature up to 140C. Melamine has been widely used in many industries. Due to its harmless nature, it is widely used to produce kitchen utensils and tableware such as plates, bowls, cups and spoons etc" (See Wikipedia and website)

melamine tableware - plates, dishes made of melamine plastic (widely used on airlines) 
melamine products
Srithai exports melamine products to over 100 countries

screen shot - when what is on the screen of a person's computer is turned into a web graphic photo (jpeg, gif, png) to use in a webpage, also called "screen capture" (See Wikipedia)

Srithai Superware - "the world's largest manufacturer of melamine tableware. Their products encompases products range from furniture, pallet, beverage crates, containers, fish crates, auto spare parts and many more. 30% of their production is for OEM orders" (See website and profile)

manufacturing - making goods in large quantities in a factory to sell (See Wikipedia)
manufacturer - a company does manufacturing as its business
business strategy - strategic management, the process of predicting future opportunities and difficulties that a company will face in the future and planning how the company can gain as much advantage as possible given these constraints (See Wikipedia)

OEM - "a company that buys goods from a manufacturer in large quantities and then sells them under their own name. They may change the equipment first to make it suitable for a particular purpose or put different parts together to make a complete item" (See Wikipedia)

direct-sales - "the direct personal presentation, demonstration, and sale of products and services to consumers, usually in their homes or at their jobs," the marketing and selling of products directly to people outisde of a store, includes sales through parties, one-on-one demonstrations and internet sales (See Wikipedia)

mull - think over carefully for a period of time (before making a decision)
Srithai mulls Myanmar move

wages - the amount of money earned per hour by a worker
too few workers, too high wages at home

producer - a person who makes the practical and financial arrangements needed to make a film, play, television or radio programme ผู้อำนวยการสร้างภาพยนต์, ผู้ผลิต
melamine producer

base - a place from where an activity can be planned and operated ฐานที่มั่น
production base - a place where the factories of a company are located

Srithai Superware Plc, the world's leading melamine producer, is looking to Myanmar as a production base in the near future.

potential - possible ความเป็นไปได้
potential locations - possible places (to do something or build something)
president Sanan Ungubolkul will visit the country soon to look for potential locations to set up a new factory.

positive - something good ในแง่ดี hopeful and confident, or giving cause for hope and confidence ซึ่งมองในแง่ดี
response - a reply or reaction to something that happens (what you do because some event happens)
positive response - a good and hopeful response to some event that happens

Srithai has about 700 workers from Myanmar at its factory in Thailand and operates its SNatur direct-sales business in Myanmar, achieving a positive response

branch - an office or shop representing a large company or organisation in a particular area สาขา
branch office 
It plans to set up a branch office for direct sales in that country this year.

Mr Sanan said if the company does build a new plant in Myanmar, it will invest 50 million baht and use it as a production base for exports.

expand - to become larger ขายตัวออกไป
production capacity - the amount of something that can be produced ความสามารถในการ (ผลิต)
expand production capacity - increase the amount that can be produced (by making a bigger factory, for example)

shortage - when there is not enough of something การขาดแคลน
labour shortage - not having enough workers (to do the work that needs to be done)

alternative - another choice; something that you can choose instead of something else  ตัวเลือก / ทางเลือก
alternative bases - alternative production bases, other places where a company can locate factories

we can't expand our production capacity in Thailand due to the labour shortage and higher wages. Myanmar and Vietnam are alternative bases

wage - an amount of money that you earn for working, usually according to how many hours or days you work each week or month ค่าจ้าง
The planned hike in the daily minimum wage means Srithai plans to raise its product prices in April.

embargo - an official order that prohibits and prevents trade with another country
embargo on Iranian oil  

driven up - cause to increase
driven up oil prices - cause oil prices to increase

factor - a fact or situation which influences the result of something ปัจจัย
factor in a decision - one of the things (info, facts, data) that was used to make a decision

the embargo on Iranian oil has driven up oil prices and thus costs, another factor in the company's decision.

closure products
apart from Myanmar, the company will spend almost 300 million baht to produce closure products at its factory in Vietnam 

capital - money invested in a business (See glossary)
registered capital - the maximum amount of money that a company is allowed to raise by selling shares, also called "authorized capital" or "authorized share capital" (See Wikipedia)
registered capital of Srithai Vietnam will go up to 335 million baht this year from 270 million.

soft drink - น้ำอัดลม, เครื่องดื่มซึ่งไม่ใช่เหล้า, เครื่องดื่มที่ไม่ใส่แอลกอฮอล์ (น้ำอัลม)
firm - a company บริษัท
contract - a written (or oral) agreement that is legally binding สัญญา
delivery - bringing something to a place where it is needed (example: your internet purchase will be delivered to your home within a week)
the closure products will serve a giant soft drink firm in Vietnam as part of a three-year contract. The first delivery will start in August.

poised - about to do or achieve something ได้มาซึ่ง
investment - taking your money and putting it into projects to make a profit or earn interest (buying stock shares, bonds, real estate)
in Thailand, the firm is poised to spend one billion baht on investment this year

expand - increase in size
some 100 million baht will be used to expand its melamine business at its factory in Nakhon Ratchasima province, 600 million will be used for its plastic products and the remaining 300 million is for expanding its direct sales business and overseas investment

expected - believe will happen คาดว่า (จะเกิดขึ้น)
For SNatur direct sales, it plans to expand to Cambodia and Indonesia before reaching 10 countries in a few years. Sales of SNatur are expected to reach 460 million baht this year, up from 353 million last year 

projected - expected, forecast; what people believe it will in the future
Srithai's total sales this year are projected to reach 7.8 billon baht, up from 6.65 billion last year.

shares closed on the Stock Exchange of Thailand at 8.70 baht - when the stock exchange closed the price of the company's stock shares was 8.70 baht

trade - the buying and selling of things การค้าขาย
SITHAI shares closed on the Stock Exchange of Thailand at 8.70 baht, down 10 satang, in trade worth 1.23 million baht

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