Panjawattana upbeat on income growth

Panjawattana upbeat on income growth

The medical product market in Thailand is tending to expand as the country's ageing population expands. (Photo: Chanat Katanyu)
The medical product market in Thailand is tending to expand as the country's ageing population expands. (Photo: Chanat Katanyu)

SET-listed Panjawattana Plastic, a local manufacturer of plastic containers and plastic auto parts, expects its revenue to grow by 15% next year, driven by sales of plastic products used in daily life and the launch of a medical product.

The company plans to increase its customer base by venturing into businesses that require hygienic standards and high technology and promise high profit, said Wiwat Hemmondharop, chairman of the executive board.

He said Panjawattana is scheduled to launch an oxygen humidifier made from plastic in the second half of next year, part of its efforts to increase revenue.

The company decided to market this form of medical equipment after abandoning a plan to launch a plastic syringe.

Mr Wiwat believes oxygen humidifiers have the potential to gain interest from consumers because the medical equipment market in Thailand is growing rapidly as the ageing population grows.

Thailand became an aged society last year, meaning that the number of people aged 60 and above now makes up more than 20% of the country's population of 66 million, according to the Thai Health Promotion Foundation.

The oxygen humidifier market in Thailand is worth roughly 400 million baht per year, said Mr Wiwat, adding that imported oxygen humidifiers now command an 80% market share.

The company wants its oxygen humidifier brand to be widely recognised and create product reliability among users before pushing ahead with a plan to produce plastic syringes.

In terms of the company's products designed for daily use and its auto parts businesses, Panjawattana expects revenue to grow by 10% and 20%, respectively, next year.

Mr Wiwat said the firm plans to allocate 450 million baht to support its businesses next year, including improvements in its auto parts production, the development of a research and development facility, including a laboratory, as well as a plan to buy land to build a factory to manufacture packaging products for a laundry business.

Panjawattana acquired Master Laundry, a laundry service provider, last year in the hope that the business would become a new source of revenue.

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