MALAYSIAN condom manufacturer, Karex Industries, racks up its capacity after selling shares next year. The move is expected to pit anew the country’s rubber products sector, which last year has generated an estimated 6% of exports, against current top competitors, Thailand, Indonesia and Vietnam.
“Demand for condoms is continuously growing,” said Goh Miah Kiat, Executive Director of Karex, saying that the company’s going public could also raise more funds for expansion.
Karex is raising funds through the share sale to double its annual production capacity to 6 billion pieces.
Goh also said that Asia’s growing demand for condoms is also due to the young population in the region; and likewise, Southeast Asia is the world’s biggest condom producer.
Karex supplies the product to the United Nations and other markets that include Brazil, the US and China.
“We’re constantly looking at new markets,” said Goh. Karex is looking at firming up its presence in developing countries like Commonwealth of Independent States, Eastern Europe and Latin America; and have also started automating their processes. (RJA)
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