Kao expects market to recover in second half
Kao Industrial (Thailand) Co, a manufacturer of consumer products and chemicals, expects Thailand's consumer product market to recover in the second half of this year.
President Yuji Shimizu said after the majority of Thais are vaccinated and resume normal activities, Thailand's economy should improve.
"Consumer product businesses such as beauty care products, cosmetics, UV care and hair colouring are likely to recover after a slowdown the past two years," he said.
Mr Shimizu said the company is monitoring the impact of the Russia-Ukraine crisis, the persistent Covid-19 risk, and rapidly rising raw material costs that may affect the company.
As part of a plan to capitalise on the recovering economy and demand for consumer products, Kao recently underwent a major rebranding under the concept of "Kirei -- Making Life Beautiful", conveying "a bright and sustainable future for all through the concept of Kirei, which provides a cleaner, more beautiful, and healthier life for people and the planet through innovation".
"The recent overhaul of the Kao logo also reflects a modern shift to market at an international level with a more powerful meaning and relevance. The arch that underpins the entire logo symbolises an uninterrupted view of the horizon, representing our planet," he said.
"Together, the elements of the logo express Kao's commitment to maintaining a deep connection with people and society."
In addition to rebranding, the company also unveiled its Vision 2025 focused on environmental, social and governance (ESG) strategies along with transparent management, ensuring business is conducted responsibly to create a sustainable society.
Kao plans to spend 45 million baht on ESG activities this year.
"Kao's ESG strategies are designed to serve people's desire for a greener lifestyle to contribute to a sustainable world," Mr Shimizu said.
"To take sustainable development to the next level, Kao Thailand will offer sustainable products to consumers and reduce pollution to benefit the environment, aiming to reduce our CO2 emissions to zero by 2040 and becoming carbon-negative by 2050."
The company set a goal for all plastic packaging being sold to be 100% recyclable by 2025.
Kao Thailand reported revenue of 13.3 billion baht in 2021.
Kao has four business segments in Thailand comprising: hygiene and living care; health and beauty; cosmetics; and chemicals.
For Kao's consumer product business group, its revenue is expected to grow by 3-5% in 2022.