Ocean Glass to double annual stemware production capacity

Date: 25 March 2005
Source: Bangkokpost.com

Date: 25 March 2005

Ocean Glass Plc (OGC), a major listed glassware manufacturer, plans to double its annual stemware production capacity this year to 20 million pieces.

According to managing director Supawan Kanyaprasith, the company will spend 640 million baht to boost its production capacity for stemware and tumblers.The capacity expansion project will take two years to be completed. The company will use net profit to finance the expansion.

OGC has been running its stemware production line at full capacity, which annually amounts to 9-10 million pieces, for three years.

``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 additional stemware capacity, to be up and running by October, would start generating income in mid-2006.

For tumbler products, the company plans to expand its capacity of 15-20 million pieces a year to 115-120 million, Mr Staporn added.

He stated that the additional output would mainly serve demand from the export market, which includes countries in Southeast Asia, Europe and the United States.

Furthermore, the advanced technology to be used in the expansion project would enable the company to produce a greater variety of products.

OGC plans to produce a variety of larger-sized items, as well as new designs to be launched later this year.

At present, 66% of total output is for export, while the rest is sold domestically.

For 2005, OGC has set aside a budget of 10 million baht for marketing events locally and abroad.

The company's domestic focus will be on maintaining its 40% share of the Thai market.

The company has set an ambitious target for revenue growth of 10%. Last year, OCG's revenue increased by 1% to 1.35 billion baht, up from 1.34 billion the previous year.

The company's debt-to-equity ratio increased to 0.68 in 2004, up from 0.38 in 2003.

Net profit decreased to 180.18 million baht from 180.45 million baht in 2003, mainly due to a huge investment in its subsidiary, Ocean Sasaki Glass Co, which was worth 374 million baht.
600450 Ocean Glass to double annual stemware production capacity glassonweb.com

See more news about:

Others also read

MORE...

Emirates Glass wins major supply contract for Palm Jumeirah
Emirates Glass, a Dubai Investment subsidiary, has won a major contract to supply 140,000 square meters of its premium glass to the prestigious development on the Palm Jumeirah, reaffirming its already established reputation as the single most prominent company in the entire regional glass industry.The deal was announced during the company's participation in the prestigious Big 5 show, the largest annual venue for the entire Middle-East glass contracting industry.
ISRA Receives Major Display Glass Inspection Order
Isra Vision Systems AG supplier of machine vision systems, has successfully improved its market position in display glass inspection with a major order totalling 1.8 Mio Euro.
Rexam, buyout firms to bid for Calmar-sources
Packagers such as the UK's Rexam and private equity firms are set to vie for pump-sprayer business Calmar, which France's Saint-Gobain (SGOB.
China glass import a cheaper option for Amritsar firm
Jain Scientific Glass Works, manufacturers of glassware for laboratories, is importing glass as raw material from China, which was much cheaper than the local product and abundantly available.
Company to close lime plant in Carey next month
The National Lime & Stone Co. will discontinue production of calcined lime early next month at its Carey plant, the company CEO announced Thursday.
Corning, AGC Glass-substrate Capacity Expansion Projects Unit: 1 furnace Company Location 2004 2005 2006 Corning U.S.
Japan 1 2 1 S. Korea 6 6 3 Southern Taiwan 4 2 0 Central Taiwan 0 4 2 AGC Japan 0 1 1 Taiwan (Yunlin) 1 1 1 Source: PIDA (Photonic Industry & Technology Development Association) Taiwan TFT-LCD Panel Makers Happy to See Substrate-price Falls in 2006 Taipei, Dec. 27, 2005 (CENS)--Both of the world's top-two glass-substrate makers are actively expanding their production capacity in Taiwan, which is expected to cut substrate transportation time and cost for local thin film transistor-liquid crystal display (TFT-LCD) panel makers and boost production efficiency, according to Michael Wang, project manager and senior analyst of Taiwan's PIDA (Photonic Industry & Technology Development Association).According to Wang, Asahi Glass Co. (AGC) of Japan has solved problems in lowering the defect-free rate for the production of fifth- and sixth-generation (5G, 6G) glass substrates, and is expected to tap the market with products with higher price competitiveness in 2006 to grab more market share in the 6G substrate businessIn addition, Wang added, the aggressive capacity added by both Corning of the U.S., the world's No. 1 substrate supplier, and AGC, the No. 2, will lead to price drops for glass substrates and will especially benefit TV panel makers such as AU Optronics Corp. (AUO) and Chi Mei Optoelectronics Corp. (CMO) in TaiwanCurrently, Wang pointed out, a 6G substrate is priced at about 27,000 to 30,000 Japanese yen, about 1,000 to 2,000 yen lower than in the third quarter of 2005.

Add new comment