Thai glassware manufacturer Ocean Glass Plc (OGC) plans to double its annual stemware production capacity in 2005 to 20 million items, it was reported.
Managing director Supawan Kanyaprasith said the…
Thai glassware manufacturer Ocean Glass Plc (OGC) plans to double its annual stemware production capacity in 2005 to 20 million items, it was reported. Managing director Supawan Kanyaprasith said the company will spend THB 640 million to increase production capacity for stemware and tumblers. The capacity expansion project is scheduled to take two years and will be financed out of net profit. For the past three years OGC has been running its stemware production line at full capacity, which amounts to 9-10 million items per annum. “This year is the right time to increase production capacity to 17-20 million pieces per year to serve overwhelming demand,” said Mrs. Supawan. Staporn Chirasrirungson, director and plant manager for OGC, said the company“s higher stemware capacity, to come onstream by October 2005, would start generating income in mid-2006. For tumbler products, the company plans to increase its capacity of 15-20 million pieces a year to 115-120 million, Mr. Staporn said. He said the additional output would mainly go to meeting demand from the export market. Furthermore, the advanced technology to be used in the expansion project would enable the company to increase its range of products. OGC plans to produce a variety of larger-sized items, as well as new designs to be launched later in 2005. At present, 66% of total output is for export, while the rest is sold on the domestic market. For 2005, OGC has set aside a budget of THB 10 million for marketing events locally and abroad. Domestically, the company will concentrate on maintaining its 40% share of the Thai market. The company is aiming at revenue growth of 10%. In 2004, revenue increased 1% to THB 1.35 billion, up from THB 1.34 billion the previous year.