OCTOBER – DECEMBER 2007
QUARTERLY
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Malaysian Tin Products
MANAGEMENT COMMITTEE
FOR YEAR 2006/2007
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PRESIDENT MR. MAMORU KAWASAKI(ALTERNATE – MR. LOH YOON SOON) SELAYANG SOLDER SDN BHD
VICE-PRESIDENT MR. TEOH LAY HOCK NIHON SUPERIOR (M) SDN BHD
HON. SECRETARY MR. C.S. LIM METAL RECLAMATION (IND) SDN BHD
TREASURER MR. JASON LEE HENKEL (MALAYSIA) SDN BHD |
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Letters to the Editor are
welcomed. We appreciate your feedback
to further improve our editorial content. Please address your letters to: The Editor The Malaysian Tin Products Newsletter P O Box 12560 50782 KUALA LUMPUR. |
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COMMITTEE MEMBERS MR. CHEN TIEN YUE ROYAL SELANGOR INTERNATIONAL SDN BHD EN. AB. PATAH MOHD PERUSAHAAN SADUR TIMAH MALAYSIA (PERSTIMA) BHD MR. KOJI TSUBONO SENJU (M) SDN BHD |
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SECRETARIAT ADDRESS The Malaysian Tin Products Manufacturers’ Association (MTPMA) 8th Floor, West Block Wisma Selangor Dredging 142-C, Jalan Ampang 50450 KUALA LUMPUR. |
EDITORIAL SUB-COMMITTEEMR. MAMORU KAWASAKI MR. LOH YOON SOON
MR.
TEOH MR. C.S. LIM
MR.
JASON LEE MR. CHEN TIEN YUE TN. HAJI MUHAMAD NOR MUHAMAD EN. FAIZUL AZRI AZIZAN
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Tel: 03
– 21616171 Fax: 03
– 21616179 Email: mtpmasec@mtpma.org.my The Malaysian Tin Products Newsletter is published
quarterly by the Malaysian Tin Products Manufacturers’ Association (MTPMA).
The opinion and statements expressed in the Newsletter are not necessarily
those of the MTPMA or the Editorial Sub-Committee and neither endorsement nor
confirmation are intended or implied. |
Dear Members,
I hope this fourth and final issue of the year 2007 Newsletter reaches you in fine health.
On behalf of the Association’s Management Committee and Secretariat, I like to wish you all Selamat Hari Raya, Happy Deepavali, Merry Christmas and Happy New Year.
2007 has been a challenging year for us all. I am glad to note that although the electrical and electronic (E & E) sector’s performance during the first half of the year was sluggish due to softer external demand, the month of August had shown a noticeable improvement as demand and sales began to pick-up. The E & E sector’s recovery would certainly augurs well for our related industries. It is my fervent hope that this positive momentum will continue throughout the rest of the year and the years ahead.
I also wish to share here with you a positive report released by the ITRI Ltd. in December 2007 containing new data on global tin use by market sectors in 2006 together with information on use trends from 2004-2007. This study is based not only on national and international statistics from official agencies, but also information gathered from industry experts and direct survey results from downstream tin users.
The key conclusions from this ITRI report state that;
- Solders were found to account for around 52% of global tin consumption in 2006, an increase from a 50% share in the previous year.
- Asian companies account for almost 80% of tin used in solders, with China alone representing some 55% of world solder business.
- Tinplate production continued to grow in China and remains the largest market for the metal in Europe, while tin chemicals are very important in some large national markets such as the USA and Germany.
- Global tin usage in all main applications other than solders has been roughly stable since 2004 despite recent tin price increases.
Next year, Malaysia's economy is anticipated to strengthen further to record a GDP growth of 6% - 6.5%, where positive contribution is envisaged from all sectors. Domestic demand is expected to be the main driver of the economy while external demand is only expected to pick-up in the second half of 2008.
With such positive outlook, I like to wish everyone a great and prospherous year ahead. I also wish to take this opportunity to thank all Association members and the Secretariat staff for their support given me during the year 2007.
MAMORU KAWASAKI
President
Electronic/Semiconductor Sector News
Exports in August Rebound, Aided by Electronics Sector
For the first time in three months, Malaysia’s exports which have been soft due to weaker demand for electrical and electronic products (E&E), expanded in August. Exports grew a marginal 0.3 per cent year-on-year, above market expectations and a Business Times poll which had forecast a contraction of 0.43 per cent for the month. The International Trade and Industry Ministry (MITI), in releasing the data yesterday, attributed the growth to a 10.9 per cent increase in the E&E products from July. Imports with a value of RM44.61 billion increased by 2.9 per cent from a year ago in August while a trade surplus of RM8.99 billion was recorded for the month.
Bank Islam senior economist Azrul Azwar Ahmad Tajudin said that “while E&E exports are likely to remain lacklustre in the next couple of months, we could perhaps see more discernable signs of an E&E recovery. “By end of the third quarter, these manufacturers will begin gearing up for an expected pick-up in demand driven by year-end festive season and back-to-school sales,” he added. A 4.9 per cent year-on-year rise in global sales of semiconductors in August could offer a glimmer of hope for a turnaround in global electronics demand.
HSBC Bank economist Prakriti Sofat said electronics exports which have remained on the backfoot, have gone through the seventh consecutive month of decline. “We continue to see solid growth in palm oil exports which have been growing at an average rate of 32 per cent year-on-year since the start of the year – with world prices of palm oil being very favourable,” she added. She also observed that exports to the US have contracted for the sixth consecutive month while those to the European Union have slowed for the fourth straight month as compared to those to China which have jumped by 16.3 per cent year-on-year.
MITI said Asean, the US, the EU, China, Japan, Hong Kong and the Middle East were the top export markets which accounted for more than 80 per cent of the total exports in August. “The outlook for exports excluding electronics remain very positive, though for electronics still a little cloudy. However as the global inventory overhang works its way off we should see some improvement,” said Prakriti. On tech exports from Malaysia, Citi director for Asia Pacific and market analysis Dr Chua Hak Bin noted that tech exports have been underperforming in Malaysia relative to Singapore, South Korea and Taiwan. “Our tech leading electronic indicators suggest tech demand will remain lacklustre in the coming months in the run-up to Christmas,” he said.
(Source: New Straits Times, 5 October 2007)
Economic News
Malaysia 14th Favourite Destination for FDI
Malaysia is ranked among the world’s top 20 attractive economies for foreign direct investment (FDI), according to the World Investment Prospects Survey 2007-2009 FDI. The United Nations Conference on Trade and Development (Unctad) says Malaysia is ranked 14th, ahead of 15th place Indonesia and Singapore one rung lower, as five Southeast Asian countries remain among the favourite FDI destinations.
The top 10 countries in the survey are led by the world’s two fastest growing – China and India – followed by the US, Russia, Brazil, rising star Vietnam, Britain, Australia, Mexico and Poland. Others in the top 20 are Germany (11th), Thailand (12th), France (13th), Italy (17th), Ukraine (18th), Japan (19th) and Canada (20th). According to the survey, which was released yesterday, South, East and Southeast Asia, which offer major locational advantages such as market growth and size, cost and quality of labour, are consolidating their position as the most preferred region of international investors.
In fact, almost two-thirds of the companies which participated in the survey say they have plans to invest in either China or India or both. “While, in the view of investors, they share the same advantages in terms of labour costs and size/growth of market, India ranks higher in terms of skilled labour,” it notes. Unctad says FDI flows are expected to increase over the next three years despite concerns about global financial instability and protectionism in some countries.
The survey results are based on 192 respondents among the largest transnational corporations (TNCs), and that more than two-thirds of them plan to increase their FDI expenditure in each of the years from 2007 to 2009. The survey shows that FDI is expected to increase across practically all sectors and home countries due to continued world economic growth, high profitability and the availability of external finance. Greenfield investments (the establishment of new affiliates in foreign countries) will be more commonly used as an entry mode into developing economies while investment in developed countries will more frequently take the form of mergers and acquisitions.
(Source: New Straits Times, 6 October 2007)
FDI Up by 53%
Foreign direct investment (FDI) in Malaysia went up by 52.8% to US$6.06 billion last year, underlining growing confidence in the country as an investment destination. Interestingly, Malaysian companies have also become more aggressive on the world stage, investing almost the same amount overseas in their bid to become global players. The sharp jump in FDI was noted in the UN Conference on Trade and Development’s (Unctad) World Investment Report 2007 released yesterday, which listed Malaysia as one of the top 10 recipient economies in Asia. In 2005, FDI in Malaysia was at US$3.97 billion.
Malaysia, however, ranks seventh in FDI inflows after China, Hong Kong, Singapore, India, Thailand and Taiwan, the report said. The annual survey of global FDI ranked Indonesia, Korea and Pakistan eight, ninth and 10th respectively in FDI inflows for the region of South, East, and Southeast Asia. “FDI inflows to the region maintained their upward trend in 2006, rising by about 19% to reach a new high of US$200 billion,” the report said. “China and Hong Kong retained their positions as the largest FDI recipients in the region.” However, inflows to China fell modestly in 2006 for the first time in seven years. At the same time, Hong Kong attracted US$43 billion in FDI, Singapore achieved a new high of US$24 billion, and India drew in US$17 billion – an amount equivalent to three preceding years of inflows.
The report predicted that rapid economic growth in Asia should continue to fuel increased market-seeking FDI to the region. “The region will also become more attractive to efficiency-seeking FDI, as countries such as China, India, Indonesia and Vietnam plan to significantly improve their infrastructures.” UNCTAD’s report also found that Malaysian companies’ investments in other countries more than doubled from US$2.97 billion in 2005 to US$6.04 billion last year.
Malaysia ranked seventh in Asia for FDI outflows after Hong Kong, China, India, Singapore, Taiwan and Korea, but remained ahead of Indonesia, Thailand and Pakistan. “Soaring FDI outflows may be attributed to acquisitions of strategic assets abroad and represent created wealth or overseas expansion activities by Malaysian corporations and banks positioning to become global players,” UNCTAD said. Its report noted that FDI outflows from the region as a whole rose by 60% to US$103 billion in 2006. “Outflows from Hong Kong, the largest source of FDI in the region, rose by 60% to US$43 billion while China consolidated its position as a major investor, and India is rapidly catching up,” the UNCTAD report said. The report also revealed that six Malaysian companies made it into the list of top 100 non-financial transnational corporations (TNCs) from developing countries.
Petronas ranked second in terms of foreign assets totalling US$61.6 billion. YTL Corp ranked 26th, followed by Telekom Malaysia (47), Sime Darby (60), MISC Corp (63) and Genting (89). “The most important focus for TNCs from developing economies remains the electrical/electronic equipment and computer industries, although the petroleum sector rose in value in 2005 (the most recent year for which data are available), confirming the growing role of TNCs from developing economies in the extractive industries (oil, gas and minerals),” the report said.
It noted that developing-country TNCs have expanded mostly in their own regions, although the top locations for their foreign affiliates are the UK and the US, with China now ranked third. It said that while the European Union, Japan, and the US were still home to most of the world’s largest TNCs, the most significant change in recent years is the increasing number of firms from developing economies on the list of the world’s 100 largest TNCs. “Seven TNCs on the 2007 list are from developing countries, compared with five for 2006.” The report also said that Malaysia’s FDI stocks, which rose to US$53.6 billion in 2006 from US$47.5 billion in 2005, reflected investment activities by transnational corporations to own foreign affiliates. It added that Malaysia’s ranking in the Inward FDI Performance Index improved from 64 in 2005 to 62 last year. The country also jumped from a ranking of 30 to 22 in the Outward FDI Performance Index for the same period.
(Source: The Sun, 18 October 2007)
Malaysia Ranks 16th Among Top 25 Destinations for FDI
Although China and India continue to rule the roost, Malaysia has been rated 16th among the 25 top destinations for foreign direct investments (FDI). China is the world’s number one FDI destination with India taking the second spot while three other Asean nations are also in the list – Singapore at seventh, Vietnam 12th and Indonesia 21st, according to a study by global strategic management consultancy A.T. Kearney.
The current malaise in the credit markets does not seem to have dampened corporate plans for a fresh flush of FDI, according to the study that was based on a survey of top executives conducted since the subprime crisis began this summer. The assessment of senior executive sentiment at the world’s largest companies found corporate investors optimistic about the prospects for developing nations and increasingly targeting them for more corporate investments in the years ahead, according to Kearney’s FDI Confidence Index. The index provides an overview of the prospects for international investment flows. Companies that participated in the survey accounted for more than US$3.8tril in global revenue.
While China and India remain uncontested as the leading FDI destinations in the 2007 index, 15 of the most attractive FDI destinations are developing markets. Brazil, the United Arab Emirates (UAE) and Russia figure in the top 10 destinations. South Africa and other Gulf states (Bahrain, Kuwait, Oman and Qatar) made their debut in this year’s index while Vietnam, Malaysia and Indonesia are returning to the index’s top 25 most attractive destinations. Emerging markets have also registered the strongest investor optimism, with India, China, Brazil, the UAE and Vietnam experiencing the most positive change in investment outlook in the past year, according to executives.
(Source: The Star, 12 December 2007)
China’s Lead Exports Surge on Soaring Prices
China’s exports of lead surged last month to the highest since June, as disruptions to shipments from rival suppliers boosted prices to a record in October. Lead exports rose 54% to 24,352 tonnes in November, compared with the previous month, the Beijing-based customs office said yesterday. Exports picked up after falling for five straight months as China increased the tax burden on exporters of the metal, used in car batteries. “It’s very profitable for Chinese producers to export the metal, given the large rise in prices on the international market,” Shenzhen Rongtuo Trading Co analyst Pang Ying said.
Lead is this year’s best-performing metal, with the benchmark London Metal Exchange contract for delivery in three months rising 59% to settle at US$2,650 a tonne on Dec 21. China’s exports of lead in the first 11 months fell 54% to 222,605 tonnes, the customs office said yesterday, citing revised data. The country’s lead production, the world’s biggest, rose 12.6% in November to 251,000 tonnes, compared with the previous month, according to Mainland Marketing Research Co.
(Source: The Star, 25 December 2007)
AmInvestment: Local Economy will Remain Strong
The second half of 2008 will most likely outshine the first six months of economic growth in Malaysia, underpinned by recovery in trade performance, said AmInvestment Bank. Economist Manokaran Mottain said external trade will benefit from the higher earnings from both the manufactures and primary commodities including oil and gas, as major economies recover from the recent uncertainties.
The investment bank believes that despite the slipping growth in several major economies, especially in the US, EU and Japan, the Malaysian economy will remain strong, with an annual GDP growth of 6.5 per cent in 2008. “Growth would be supported by the planned expenditure for the Ninth Malaysia Plan projects as well as the corridor programmes. In the private sector, private consumption expenditure will remain buoyant at strong double-digit growth, well supported by steady increase in disposable income and stable employment market conditions as well as stronger commodity prices,” he added in a report.
GDP accelerated to 6.7 per cent in the third quarter and expectations are now high that the full year estimate will remain within the official target of 6.0 per cent in 2007. Mottain also felt that growth in gross fixed capital formation will remain moderately strong, matching the 2007 level and underpinned by higher expansion of the construction sector and oil and gas related industry. “The external slowdown, if any, will be mitigated by the well-capitalised domestic banking system, a prudent fiscal policy, accommodative interest rate and a moderately strong consumption supported by high savings rate,” he said. Higher fuel prices and toll fares may dent household discretionary income and hurt the consumer, but hefty civil service wage hikes and recent policy changes in the Employees Provident Fund will cushion the impact on consumer income and spending.
Meanwhile, inflation is likely to rise towards the three per cent level in 2008, triggered by the recent announcement of higher toll charges in selected expressways, continued rise in commodity prices that escalated the cost-of-producing goods as well as the impending increase in the prices of petroleum products following the surging oil prices globally. “Although the government is widely anticipated to keep the pump prices at current levels, at least until the general elections, we are of the view that the pressure on widening fiscal deficit amidst higher fuel subsidies would force the government to announce a hike in the range of 30-40 sen hike beginning the second quarter of the year,” Mottain said. Mottain however felt that the cumulative impact of all the factors mentioned will be mitigated to a certain extent by the excess capacity utilisation in the industries and stronger ringgit in 2008. AmInvestment Bank estimates inflation to remain at 2.8 per cent. Given the balance of payments situation as well as further weakness in the US dollar, he expects the ringgit to appreciate further and trade around RM3.20 per US$1 before the end of 2008.
(Source: New Straits Times, 31 December 2007)
Member News
Premium Gifts for Hunt Winners
Sponsoring the “Mother of all hunts” for the first time, Royal Selangor Pewter is rewarding winners of theSun Motor Hunt with premium pewter items. Having sponsored two of “theSun Corporate Hunt” previously, the company decided to support “theSun Motor Hunt”, which has been running for four consecutive years. “With two good experiences involving ‘theSun Corporate Hunt’, we were convinced to take part in a much bigger hunt,” said Royal Selangor communications manager Anne Leong.
“The pewter items are perfect gifts for any occasion. The participants can expect to see some of the new designs and fresh trends under our autumn collection which was launched at the end of August.” Leong said the hunt will also provide the perfect opportunity to promote the Royal Selangor Visitors Centre as it would be one of the stops. The centre won Malaysia Tourism’s “The Best Tourist Attraction Award 2004”, and the “Asean Tourism Association Award 2005” for the best Asean new tourist attraction.
“We are also looking forward to submitting our own team and see how well we will fare in the hunt,” she said. According to theSun senior distribution manager Joehari Abdul Jabbar, about 150 cars have registered for the hunt as of yesterday. “We are closing the registration by Oct 29 or when we receive 250 cars, whichever comes first,” he said, adding that about 1,200 participants are expected. He said the prizes are worth more than RM175,000 and will be given to more than 100 teams. The flag-off will take place at the National Science Centre in Bukit Kiara on Nov 3. The event’s main sponsor is Great Eastern Life Insurance, with Royal Selangor and McDonald’s as other sponsors. The co-sponsors are Nestle, Elken, Eraman, Procter & Gamble, Pathlab, Unilever, True Fitness, Boh Plantations, Permanis, Effem Foods Malaysia and Quantum Global.
(Source: The Sun, 17 October 2007)
Pewter Appeal
There is more to pewterware than just mugs and plates. Sharon Ng Kooi Kin discovers a wide range of products and accessories that appeal to the younger generation.
I have always enjoyed visits to Royal Selangor outlets, regardless of whether they are small shoplots or the highly impressive huge retail exhibition area at the Visitor Centre in Setapak Jaya, Kuala Lumpur. I can spend hours admiring the wide range of items and marvelling at the magnificent artistry. Recently, while picking a gift for a friend in Gurney Plaza, Penang, I discovered that Royal Selangor had widened its range to include silverware and jewellery as well. With its sister companies, Comyns and Selberan, it now offers more than 1,000 gifts and collectibles.
Accessories, Accessories
The Royal Selangor pewter accessories seem to appeal to the younger set. I observed two young women trying on pendants strung on black strings. One had picked out the “Sun”, an eye-catching drop with a hole in the centre. Others in the series include the eye, dragon, four-leaf clover, star, flame and facets. Her friend selected a silver necklace from the Comyns range of silver accessories. Comyns has a lovely collection in sterling silver. There are eagles in flight or perched with outstretched wings, large-eared mice nibbling a corn cob, a wise-looking dignified owl, graceful swans and long-tailed pheasants, all frozen in silver. Selberan’s range is more up-market with Lazare diamond, pearls, gems and semi-precious stones set in gold and silver. An exquisite creation is “Dancing Diamonds”, a necklace that seems to dance with the movements of the wearer.
Drink & Marine
Royal Selangor lifts entertaining to a new level with its range of drinkware. Which hostess won’t be proud to serve drinks in sophisticated glassware and show off her collection of wine accessories? I was particularly fascinated with the marine series of wine goblets, champagne flutes, funnels and pourers. The manta ray bottle cradle is fluidity immortalised in pewter, and the octopus, seahorse and puffer fish aerators are intricately beautiful in their detailed craftsmanship. There are the Bacchus wine funnels and pourers, the shell decanter, aerator and pourer and the unique octopus decanter stand. Bottle coasters, cork extractors and drip rings complete the range. Such artistic creations, caught in tin alloy, are all Malaysian originals.
Tableware and Gifts
Drip-proof teapots come in all shapes and sizes, with matching tea caddies and tea sets. For exquisite fine dining there is a selection of candelabra, plates and bowls, cutlery and chopsticks with rests. At a more informal breakfast table, you can find pepper and salt mills, egg cups, creamers and sugar bowls. I was told that the Four Seasons range is quite popular with collectors and walk-in customers. For the younger set, there’s the Winnie the Pooh series with music boxes, book ends, baby rattles, mugs and napkin clips. Apart from home and family, businessmen favour pewter as fail-safe gifts for visiting dignitaries, commendation awards or appreciation mementos. During a recent visit, I saw a businessman buying 10 photo frames. A salesgirl told me that these are top sellers as they are practical gifts. Sports bodies use pewter for medals, plagues, trophies and cups. Royal Selangor has custom-manufactured exclusive pieces to commemorate events like the KL 98 XVI Commonwealth Games, World Cup Golf 1999 and the Sydney 2000 Olympic Millennium Collection.
Visitor Centre
For the full and latest range of Royal Selangor pewter ware, go to the Visitor Centre in Setapak Jaya, Kuala Lumpur, which was opened in 2004. There you will be able to gaze in wonder at the world’s largest pewter tankard, recognised by the Guinness Book of Records. It measures two metres tall and weighs 1,600kg. The Visitor Centre is divided into three main sections – Gallery, Factory Tour and Retail Store. Walking through the Gallery is an educational experience as you can learn about the history of Royal Selangor, its origins and the science of pewter.
Did you know pewter is an alloy of tin with small proportions of copper and antimony? Or that it was in 1885, that a young pewtersmith from China, Yong Koon, first offered this unique craftsmanship to the Sultan of Selangor. Armed with just a set of tools and a fervent belief in his own artistry, he ignited that spark in tin-rich Malaya to start the pewter industry. The Visitor Centre in Setapak Jaya is open from 9am to 5pm daily.
World-wide Distribution
Shopping on-line for Royal Selangor products is available throughout the world. Its retail shops are found in major cities in 20 countries. In Malaysia, the flagship store is at Suria KLCC but there are over 70 outlets throughout the country, mainly in major shopping complexes. Customers can, however, walk into shops in small towns and still find a display of Royal Selangor pewter. Royal Selangor Headquarters, Kuala Lumpur. Tel: 03-4145 6000. Gurney Plaza, Penang. Tel: 04-227 9858. Website: royalselangor.com.
(Source: New Straits Times, 30 October 2007)
Royal Selangor a Gift to the World
The world’s leading pewter maker and arguably its most famous brand, Royal Selangor boasts a rich legacy that dates back 122 years. Royal Selangor International Sdn Bhd general manager Yong Yoon Li said the company had grown from a small artisan outfit based in Kuala Lumpur’s Jalan Silang to become the world’s largest pewterer today. “We grew by understanding our customers and their requirements. When we began in the late 1800s, our customers were the early Chinese settlers who were setting up new homes and kongsi in tin-rich Kuala Lumpur. Today, our customers are discerning homeowners around the world looking for beautiful things for their homes and friends,” Yong told StarBiz.
Founded in 1885 by Yong Koon who had left his village in China with nothing more than his craftsman’s tools and sailed to Malaya, the company then made items mainly for ceremonial use – such as joss-stick holders, incense burners and candlestands for altars in Chinese homes and temples. As the British presence in Malaya grew, the company started producing functional European-styled cigarette boxes, tankards, ashtrays and teapots. In 1968, the company, then known as Selangor Pewter, opened its first retail outlet and in the 1970s it started venturing abroad – first to Singapore, Hong Kong and Australia, then to Europe and Japan.
In 1992, it changed its name to Royal Selangor. It was the first pewter company to receive a royal endorsement from the Sultan of Selangor. Soon after, Royal Selangor branched out into gold ornaments, jewellery and fine figurines through subsidiaries like Selberan, Comyns and Selcraft. Royal Selangor currently exports to more than 20 countries and operates via a network of offices complete with warehousing facilities in Australia, the US, Britain, Canada, Singapore, Hong Kong, China, Japan and Thailand. Growing the business internationally was a significant move for the group as it successfully established itself as a global brand. It continues to actively expand internationally.
Today, the Yong family still runs the company, which has seen exponential growth under the founder’s son Peng Kai and later, grandson Datuk Yong Poh Kon. Yong said although the transformation had been gradual, it encompassed all aspects of business. “For instance, when e-commerce came about, we set up our online shop. That was in 1996, more than 10 years ago. Today 80% of our Internet sales come from the US and Britain,” he said. To maintain awareness and strengthen brand loyalty, Royal Selangor advertises regularly, especially in high-end lifestyle magazines. However, one of the most important forms of promotion is its extensive distribution network in Malaysia.
Currently, the group has more than 20 retail outlets locally. Its products are also available in department stores such as Harrods in Britain and Japan-based Wako. Royal Selangor has over 1,000 product offerings including tableware, desk accessories, figurines, plaques, trophies, goblets and chess sets. The company also makes customised corporate gifts and commemorative items for specific events such as the Sydney Olympics. Although most items are made of pewter, materials such as gold, silver, porcelain and wood are also used. “A couple of years ago, we made personal accessories from pewter. When we launched the range Plus, it was a big hit not only locally but also overseas. “Plus is now in its third season and we will continue to explore this category of products,” Yong said.
He said retail business would continue to be an important division for the group. “With our new advertising campaign, we intend to connect with a new audience who will certainly find what we are doing evocative. Innovation is not only limited to product design and development but also retail concepts, visual merchandising and advertising,” he said. Though technology has enabled production on a faster and larger scale, each Royal Selangor piece is still handcrafted to precise detail. For instance, each teapot spout is carefully designed and flawlessly crafted to ensure that it does not drip.
To a question, Yong said the group continued to employ new flexible manufacturing techniques from around the world. “We send our retail team regularly for conferences, training and retail tours to ensure they get up-to-date information on global retailing trends. In terms of brand building, we work alongside consultants and government agencies such as MATRADE and MITI on new ideas to propagate the brand worldwide,” he said. Yong believes that although the group has a strong following in Britain, there is potential to grow its business further.
“We will continue to push the boundaries of pewter and also experiment on ‘marrying’ pewter with other contemporary materials that will enhance the product and its functionality overall.” Having established a good reputation internationally, Royal Selangor has often been cited as a role model for aspiring Malaysian brands venturing overseas. After all, not many brands can lay claim to being “Malaysia’s gift to the world”.
(Source: The Star, 10 November 2007)
Lotus-Inspired Pewter Accessories
Royal Selangor opened its latest retail store at The Gardens, Mid Valley City, with some surprises awaiting its customers. The new store has been given a makeover by celebrity interior designer Eric Leong and the walls have been lit up in shades of shocking pink while the floor is dotted with posh tables and stools. Boosting the overall appeal of the store was the New Asia range of home and office accessories, which were highlighted in the window displays and inside the store. Leong had designed the range for Royal Selangor’s Autumn 2007 collection. “The range is inspired by the lotus, which is symbolic across Asia. I have designed each of the accessories to have dual functions but, interestingly, many said they kept discovering new ways to use them,” the cheerful designer said.
He demonstrated how one could use the candleholder as a glass, a vase or even a multi-tiered ornament when stacked up together. “Just unleash your creativity and play with these accessories, you will be able to give your house a more appealing look in no time,” he said. The New Asia-themed display will remain at the store until Nov 29. During the period, Royal Selangor will be having special promotions on the New Asia range. Customers buying RM500 and above worth of New Asia items at this particular store will receive a lotus tealight worth RM100. They will also stand a chance to enter a lucky draw and win a RM30,000 interior makeover by Leong. For details, call 03-2287 4642 (Aini).
(Source: The Star, 12 November 2007)
Tokens of Appreciation
Entertain in style this Christmas with Royal Selangor ’s Erik Magnussen and Himalaya drinkware accessories. The simple and sleek design of the collection comprises a decanter, wine funnel, pourer, stopper, bottle coaster, bottle cooler and pitcher and cork extractors. Magnussen is renowned for his passion in overcoming problems in usage with minimalist design solutions. Each piece bears testimony to his philosophy of combining form and function. Little details such as a sensuously recessed finial in the bottle stopper design make each piece not only tactile but also a pleasure to use. While enjoying your wine, the stoppers are also great conversation starters with your guests.
Equally stunning in design and fun to use are wine accessories from the Himalaya collection. With simple shapes against bold patterns, Himalaya features bands of polished pewter that alternate with channels of subtle texturing, creating a glittering surface with a highly tactile quality. Comprising a funnel, corkscrew, wine stopper, wine pourer, bottle coaster and an ice bucket, Himalaya wine is a reflection of Royal Selangor’s modern take on pewter. In addition to the wine accessories, Royal Selangor’s latest Plus collection also makes for the perfect Christmas gift. Priced at RM100 each, the usage of these edgy yet versatile 12 Plus curvaceous geometric designs are limited only by the imagination. It can be used as a pendant, a key chain or even a decor item.
Other lovely gift items are the many tealights from Royal Selangor with various designs from Erik Magnussen and Eric Leong’s New Asia range. Be it for corporate gifts or tokens of appreciation for loved one or just for your own use, Royal Selangor’s wide selection of gift ideas has everything that you’ll need to celebrate the upcoming festivities, giving it a more rustic feel. As a lead up to the festivities, Royal Selangor stores will be giving away a pair of Christmas gift tags for every purchase of RM350 and above in a single receipt from Nov 30 to Jan 2. With prices from RM100, Royal Selangor’s Christmas offering is available at all Royal Selangor retail stores, authorised dealers and online at www.royalselangor.com.
(Source: The Sun, 6 December 2007)
MRB Expects to Return to the Black Soon
Prices of lead, both finished products and raw materials, have surged on the London Metal Exchange (LME) this year and this should bode well for Metal Reclamation Bhd (MRB), which smelts and produces lead from recycled scrap. However, the company did not have sufficient working capital to build on inventory, especially when raw material prices leapt four-fold this year from the low of US$420 a tonne. Moreover, the plant was shut down for about five months from June to facilitate the installation of a new stainless steel dust filtration unit. As a result, MRB had been reporting losses in the past two consecutive quarters. Nonetheless, managing director Lim Sheng Seaw is optimistic the company will turn around in the financial year ending June 30, 2008.
In September, MRB secured a six-year credit facility of up to RM50mil from The South East Asian Strategic Assets Fund LP, which is a joint venture between CIMB Group and Standard Bank. “With the fund, we should be in a strong financial position to ramp up manufacturing capacity,” Lim said after the company AGM yesterday. He said the financing, which will be drawn down in the third quarter of FY08, would eventually increase production to 60,000 tonnes per annum from 20,000 tonnes currently. The enlarged capacity would improve operating cost efficiency and margins would widen given that selling prices had soared, he added.
Independent non-executive director Albert Saychuan Cheok said: “With the funds and our dominant position in South-East Asia, we would be able to take advantage of the commodity boom, which is an inventory game.” In addition, the new filtration unit – which commenced operations last month – would boost filtration capacity by 30%, thus achieving higher feed rate and resulting in 20% increase in output, Lim said. MRB is also exploring opportunities to pursue the lead refining business in the Middle East. Lim said the lead industry in that region was relatively small and scarce. Prices are unlikely to soften significantly given that demand for lead is supported by burgeoning automotive industries in India and China. Lead prices on the LME have come off their high level of over US$3,800 a tonne this year and are currently hovering around US$2,400.
(Source: The Star, 20 December 2007)