NTPM Holdings Bhd group chairman and managing director Lee See Jin - File pic
GEORGE TOWN: NTPM Holdings Bhd
will continue to expand and improve its distribution channels in Malaysia and abroad in its effort to further grow and enhance its market presence, says group chairman and managing director Lee See Jin.
The group is principally involved in the manufacture and distribution of tissue paper and personal care products.
Lee told StarBiz: “Our business strategy will focus on product innovation to differentiate NTPM’s product mix from the competitors, which will help to drive our brand competitiveness and profit margins.”
Toward this, the group will be expanding its personal care product segment in Malaysia, Thailand and Vietnam, according to Lee.
“We plan to make the best use of resources to produce cost-effectively,” he added.
At the same time, Lee noted NTPM would continue to improve both its production and operation efficiencies to support sustainable business growth and adopt a new marketing position for recycled grade with eco-friendly products.
“We are looking forward to the financial year 2024 (FY24), where we see promising opportunities both in the tissue paper products and personal care products segments.
“This is view of the price of raw materials such as pulp and waste paper have stabilised.”
Furthermore, he believes that NTPM could leverage its production capacity to enhance business development, especially for the export markets.
“Barring any unforeseen circumstances, we expect that the group’s business will continue to be on an upward trajectory,’ Lee pointed out.
In FY23, the group’s annual production capacity in Vietnam and Malaysia stood at 160,000 tonnes.
According to Lee, the current consumption of tissue paper products in Vietnam is between 1.75kg and 2kg per capita, while the per capita consumption for Malaysia is at 4.75kg.
He said the per capita consumption in Thailand and Vietnam is expected to grow by a single-digit percentage in FY24.
“We have about 50% unused capacity to reinforce the group’s market position to explore new business opportunities and meet customers’ evolving needs domestically and internationally,” Lee noted.
As the consumer awareness on the negative impact of climate change continues to improve, he also expects there will be increasing demand for environmentally friendly products.
Lee pointed out that the group is well-positioned to capitalise on the growing demand for eco-friendly tissue paper.
“We have conducted briefings with customers to promote the green features of our products and encourage them to consider recycled content products or low carbon products.
“We will also continue expanding the sustainable recycled grade manufacturing process in line with its aspirations of being a green company specialising in converting wastes into useful products,” he added.
Hence, Lee said NTPM is optimistic with its effort to introduce its environmentally friendly product range to the market that will help improve in sales and reduce the environmental carbon footprint.
According to a ReportLinker report, the Asia-Pacific tissue paper market will witness a 3.5% compounded annual growth rate market growth from 2023 to 2030.
“Increasing consumption of sanitary and personal care products to maintain cleanliness and sanitation drives the demand for tissue paper products.
“The growing population’s increasing healthcare expenditures increase the demand for personal care products, fostering market expansion.
“Also, accelerated urbanisation results in substantial infrastructure developments and growing demand for tissue paper products in the coming years.
“Increasing investments by key market players to introduce new sustainable and environmentally friendly goods is anticipated to boost industry sales further,” the report said.
