Parts maker expects sales to double B700m

Business News - Tuesday December 11, 2007

Parts maker expects sales to double B700m

SANTAN SANTIVIMOLNAT

Borneo Technical (Thailand) Co, part of Hup Soon Global Pte headquartered in Singapore, expects to double its sales in the automotive components division to 700 million baht this year, indicating that its sales performance is unaffected by the slow automotive market, according to Voravit Satpretprai, general manager for automotive component sales.

The product lineup includes Ferrado brake pads, Union oil filters, Yokohama batteries, Rocket batteries, Casumina tyres, M adhesive products and Union spark plugs.

Sales of automotive components are part of Borneo Technical's consolidated sales, which are projected to grow to three billion baht this year.

The automotive component products are distributed through about 3,000 dealers, auto spare parts shops, car service centres and car accessories shops, as well as motorcycle spare parts repair shops and hardware equipment outlets.

Borneo Technical has been in business in Thailand for more than 150 years. It currently has two subsidiaries: Anglo-Thai Co, the authorised distributor of Ford New Holland tractors, and United Motor Works (Siam) Co, the distributor of Mitsubishi forklifts.

Borneo Technical was appointed as the exclusive distributor of Top 1 car-care lubricants from the United States in an agreement signed yesterday with Top Lubricants (Thailand) Co. That company was established in 2000 by Top 1 Oil Products Co of the United States, a major high-quality lubricants manufacturer.

Since Borneo Technical, a large trading firm, has long experience and ability in the marketing and distributing many products, Top Lubricants sees the opportunity to tap the countrywide network of Borneo Technical as a way to help boost the sales of lubricant products.

The distribution rights of Top 1 products for Borneo Technical will take effect in January.

Vatchara Butpantana, general manager of Top Lubricants, said Top 1 lubricant products started to be distributed by Borneo four years ago and grew rapidly in Thailand due to their outstanding quality.

Since Top Lubricants sees an opportunity to expand its market and increase its competitiveness, the company sought an alliance with a company such as Borneo to distribute Top 1 products to its customers efficiently and on time.

From next January, Borneo Technical will oversee sales, customer base expansion and distribution to dealers nationwide, as well as sales promotion and support. Top Lubricants will take charge of public relations and advertising for the products, sponsoring all levels of motor sport and holding meetings for its clients and racers in the provinces to boost the confidence of racers for its products.

Top Lubricants will also oversee product advertising and promotion in many countries in Asia.

Mr Vatchara said he was confident that sales of Top 1 products would triple to 300 million baht next year with Borneo Technical acting as a distributor. It plans to sell a wider range of products, including lubricating oil for motorcycles.

By : Bangkok Post