DRT Predicts Construction Materials Market Boom in 2012, Finds Fibre Cement Products Promising after Consumer Awareness of Anti-flooding Advantage; NT-10 Line to Commence Production by Mid-year & Drive Overall Sales Growth to 10%
DRT predicts a booming construction materials market in 2012, following the government's decision to invest in recovery projects to retain foreign investor confidence and the emergence of the consumer's need to repair their housing after the recent flooding. The firm also projects a 50% growth in the fibre cement sector, as the consumer now prefer water-resistant materials. Its NT-10 line for fibre cement production, with a 72,000MT capacity, is set to start running around mid 2012 and bolster up next year's overall sales growth to 10%.
Mr Satid Sudbantad, Deputy Managing Director of Sales and Marketing of Diamond Building Products Public Company Limited, or DRT, the producer and provider of roofing products, wood plastic composites, laminate flooring products, gypsum boards and after-sale services under ‘Diamond' brand, expressed his positive outlook on next year's construction materials market as the Thai government has decided to invest heavily in infrastructure projects as part of its rehabilitation and flooding-prevention efforts to retain foreign investor confidence, and as the demand for construction materials has risen due to the Thai people's need to repair their flood-damaged housing.
He also expects an increasing popularity of fibre cement products, the superior durability of which in the flooding environment has recently been proven and several of the products based on which, including wood plastic composites and ceiling, roofing and partition boards, are available for the consumer's use to fix their housing. He is confident that the sector will record a 50% year-on-year growth in 2012, compared with the THB 20 billion figure achieved this year.
"The flooding has changed the consumer behavior. They now prefer construction materials that can be exposed to floodwater for a long time and not worn out. Fibre cement products are exactly what they are looking for. Moreover, fire cement, due to the construction cost advantage that it offers, are used for modern technology applications. So, we believe that it will become increasingly popular for industrial use," said he.
DRT, he added, is likely to gain from the high-demand environment, as its new NT-10 fibre cement production line, with a 72,000MT capacity and a THB 480 million investment, will become in use mid next year. The line will generate outputs that are fibre cement boards with thickness ranging from 3.5mm to 12mm, which can be used for ceiling, roof and wall erections and installations.
According to him, the introduction of the new line will also contribute to the achievement under the marketing plan for the ‘Diamond Wall' ready-to-use wall technology, which allows boards to be used to form high-rise building walls in a time- and cost-saving manner. He expressed confidence that the NT-10 line will greatly create new selling opportunities for his company.
DRT anticipates the annual THB 300-500 million revenue that will be attributable to the NT-10 to enable it to enjoy overall robust sales growths, including at a 10% annual growth by the end of next year.
About Diamond Building Products PCL
Diamond Roofing Tiles PCL, or DRT, the producer and provider of roofing products, wood plastic composites, laminate flooring products, gypsum boards and after-sale services under ‘Diamond' brand, has over 25 years of business experience and is equipped with modern production technologies that are eco-friendly and has been certified to ISO 9001:2008 and TIS standards by the Thai Industrial Standards Institute, Ministry of Industry. It has also been licenced to use "Thailand's Brand" logo by the Department of Export Promotion, which confirms the high quality of its products and the sheer efficiency of its plant management. Its corporate vision is to provide a better choice to customers.