Staedtler’s second Thai factory to bring in sales
Staedtler, one of the world’s leading stationery product makers, expects sales to grow by 5% this year from 830 million baht last year after completing its second factory in Bangkok’s Lat Krabang area.
It predicts the production capacity from its two factories at Lat Krabang will rise proportionately with the tripling of production space, said Markus Handfest, managing director of Staedtler Thailand Ltd.
Staedtler Thailand through Staedtler Manufacturing Thailand Co produces 35 million erasers, 30 million ball pens and 3 million rulers a year at Lat Krabang.
The new factory opened in November while the existing building has been renovated.
Another subsidiary, Siam Pencil Co, operates a manufacturing site in Nong Chok district for coloured and black lead pencils.
“The expansion reflects our strong commitment to the Thai market. Thailand is one among three manufacturing bases for Staedtler worldwide along with Germany and Indonesia. Additional output will serve both local and export markets,” he said.
Staedtler sees Thailand as the main pillar of its Asian operations. The expansion here is part of its plan to boost its reach to consumers in Asia-Pacific and beyond.
The importance of Thailand, said Mr Handfest, is backed by good basic infrastructure, qualified staff, stable labour costs and high local demand for stationary.
The second factory at Lat Krabang is said to not only enhance the production capacity but also reduce the carbon footprint of the whole manufacturing process.
The higher production capacity will give Staedtler manufacturing flexibility for product types and packaging.
At present, one-third to one-fourth of Staedtler’s Thai-made stationary products serve the local market, with the remainder exported to more than 60 countries.
Mr Handfest noted that Thailand’s stationary market is quite promising for Staedtler, the German stationary brand, which is well-known among Thai consumers.
“The stationary markets in Thailand and Asean are growing because of the large number of students from kindergarten to university who use stationary products to study,” he added.
Staedtler Thailand’s marketing strategy for the next several years will focus on schools. Its sales this year are expected to grow 5% from 830 million baht last year, which is said to be higher than industry growth.
Konstantin Czeschka, chief technical officer of Staedtler Group, said Staedtler recorded its best year in 2016 with global sales of €342 million (1.26 billion baht), with one unexpected revenue driver being the global adult colouring phenomenon.
“Adult colouring is a key driver for our sales. Consumers have bought more art supplies over the past several years, which is really remarkable in this age of digitisation. We’re convinced that analogue technologies such as writing, drawing and crafts play a complementary role in the digital world,” he said.