Dewina aims to enter Indonesia, Thailand in a year
KUALA LUMPUR: Dewina Holdings Sdn Bhd, which produces Brahim’s brand food products, is targeting to enter Indonesia and Thailand in one year.
Executive chairman Datuk Seri Ibrahim Ahmad said the group was in the midst of complying with Indonesian and Thai regulations before obtaining approval for all of its 42 products to be sold in both countries.
“Indonesia and Thailand have stringent rules, which are sensitive in allowing foreign products into their market, as they need to ensure local products are protected,” he said after the launch of the group’s new light meals ready - to - eat (MRE) products, here, yesterday.
Ibrahim said the company was also in talks with relevant parties to export its products containing meat to Europe and the United States.
“We already have our foundation in these countries, but it is not that easy to export MRE products which contain meat,” he added.
Ibrahim said with the new product line, sales were expected to increase 15 per cent.
Currently, MRE rice meals accounted for 40 per cent of sales, with the balance coming from the MRE ready-to-cook sauce segment.
“With this latest product, sales contribution from MRE rice meals can increase to 50 per cent,” he added.
On the impact of the Sales and Service Tax (SST) implementation on September 1, Ibrahim said the company would need time to study the mechanism of the tax system upon announcement.
“For manufacturers, it is an additional tax of four per cent (from the previous six per cent Goods and Services Tax) to 10 per cent SST.
“We are not sure if this will impact the consumers as we have to take different factors into account, such as cost of raw materials and the exchange rate, as some ingredients are imported,” he added.