Posted on 04 Dec 2008
Property slump will take toll on sales
The local gypsum market is forecast to remain flat next year as growth slows in the housing market due to the global financial crisis, according to Thai Gypsum Products, the country's second-largest gypsum board manufacturer in terms of value.
Thailand's three-billion-baht gypsum market is likely to be hit in early 2009 by a fall in new supply in the property market, said Thai Gypsum sales and marketing director Valit Jiyavorananda.
"The market might fall slightly. The best effort next year for manufacturers is to try to maintain their sales," said Mr Valit.
Thai Gypsum, a subsidiary of the world's leading construction product supplier Saint-Gobain, expects to maintain its annual sales in 2009 at three billion baht, including export revenues, by further strengthening its distribution systems.
In the worst case, Mr Valit forecasts a 10% decline. "There is a repair and maintenance market, which we hope will offset the drop in the property market next year."
But the company expects its sales to the Middle East, its key export region, to decline with the completion of a new factory in
This is an investment by France-based Saint-Gobain, which in 2006 took over the businesses of
Saint-Gobain plans to use Thai Gypsum as an export centre for its products to
In
Currently, Thai Gypsum holds about 40% of
