SHERA Public Co. Ltd., a Thai building material manufacturer, is hoping to increase its market share in the Philippines to over 40% next year by bringing new products to market and increasing its presence in the Visayas and Mindanao.
On the sidelines of the launch of the company’s FYBERTEC Technology, SHERA Philippines Country Head Thunnop Jumpasri said the company expects to end the year with 38% market share.
“We hope to increase maybe 2 or 3 percentage points more by expanding coverage in the Visayas and Mindanao,” Mr. Jumpasri told reporters on Thursday.
“Right now, we are already quite strong in Luzon. If we can (enter) more markets in the Visayas and Mindanao, overall market share will increase,” he added.
He said the company is looking to sell around 170,000 tons of fiber cement products this year.
“We are almost there. For next year, maybe we expect to grow by around 10% to 15% in terms of volume and revenue,” he said.
“The economy of the Philippines next year is still promising. And we have good potential to grow. I think that’s why we’re also very positive with the outlook,” he added.
SHERA Philippines Marketing Manager Heherson Bala said that the company can increase its market share by introducing more products.
According to Mr. Bala, the FYBERTEC Technology used to develop SHERA Board Pro promises contractor savings of 20% on paint due to its smoother surface.
The company also introduced on Thursday its SHERA Gypsum Standard Board, SHERA Gypsum Moisture Resistant Board, and the Stone Plastic Composite Flooring Interior Floor.
MANUFACTURING PLANT
Mr. Jumpasri said that the company’s plant in Mabalacat, Pampanga, is 90% complete and is on track to start operations by the first quarter of next year.
“We got green-lane (permit approval status), which is why we can make it faster, allowing the plant to be finished one or two months earlier than planned,” he said.
“The initial plan is April or May … But all the civil work is finished, and we are now in the process of installing the machinery. I think it is more than 90% complete. So within the next two or three months it is going to be finished,” he added.
“For the first phase, I think we’re going to hire around 80 to 100 people. So that is for the first (production line),” he said.
Eventually, the company will hire “around 150 to 160 people in total,” he added.
He said that the majority of the plant’s production is for local consumption but noted that the company is considering exports as well.
“In the beginning, we will try to serve local demand first, and then maybe later we can produce more complex products,” he added.
For the first year, the plant will solely produce regular boards, moving on to boards suitable for walling and flooring by the second year, he said.
According to Shera Philippines Executive Vice-President for Marketing Veerasak Kittinantakool, the Philippines, unlike Thailand, is more into regular products.
“In Thailand, we have more complexity. So, in Thailand, we can have the business run on 50% regular products and 50% high-value products. In the Philippines, we rely more on regular products, which are at 70% right now,” Mr. Kittinantakool said.
“So, our plan is to keep promoting and put more variety of products in the Philippines. I think the most important thing is that we try to bring the new products to Philippine consumers and give them more choices for construction,” he added. — Justine Irish D. Tabile