- Shrinkflex on the move to be ASEAN’s leading Shrink Sleeve Label and Flexible Packaging manufacturer with sustainable products.
Mr. Sung Cheong Tsoi, Chief Executive Officer, Shrinkflex (Thailand) PCL (SET: SFT), revealed the company’s vision and commitment to being the ASEAN leading Shrink Sleeve Label and Flexible Packaging manufacturer and building sustainable growth through product innovation and the ESG movement.
1. How is the overall growth of Shrinkflex since listing on the Stock Exchange of Thailand, and what are the growth prospects for 2023?
Shrinkflex (Thailand) Public Company Limited (SFT) was listed on the Stock Exchange of Thailand in 2020 during the COVID-19 pandemic. Despite the situation, we continued to grow according to the target. Regarding our business plan, which was informed to the market and investors previously, we brought funds to invest in building the second factory, purchasing machinery, and producing a new product line: flexible packaging.
Emphasizing our position as a leader in the Shrink Sleeve Label production industry, we have continued developing and introducing innovations to customers, including environmental-friendly products. In addition, as part of our sustainability policy and commitment to preserving the environment, we provide customers with a higher value, contributing to overall satisfying growth from 2020-2022.
2. What is the strength of Shrinkflex that keeps you above the competitors in the industry?
First, we have teams of specialists working here. Second, we consistently create innovations for our customers and always continue improving ourselves. For example, we can design and build our own molds, and we are the first manufacturer in Southeast Asian region to do commercialize in the Digital Shrink Sleeve Label. Lastly, another vital point is that our business partners vary in different industries, allowing us to produce shrink sleeve labels for many product categories, from food and beverages, cosmetics, drugs, and medical supplies, to household consumer goods – each requires expertise in different types of printing.
Therefore, all these factors create a significant advantage for Shrinkflex and empower us to grow alongside partners, quickly respond to environmental-friendly innovations, and stay above other suppliers.
3. What is the growth strategy for the next 3-5 years?
As I mentioned, since we entered the market, we have brought capital to expand the business by focusing on developing new product lines, such as flexible packaging, and finding innovations to meet environmental needs. In the next 3-5 years, we aim to capture around the two digits growth and become one of the leading Labeling and Packaging Solutions providers in Thailand and ASEAN.
4. Due to the movement and regulation pressure on the consumption and production of plastic these days, how has Shrinkflex prepared for changes?
Plastic may be difficult to disappear from our daily lives. So, how can we make it environmental-friendly? Whether recycling or reusing, these two solutions are the future of the shrink sleep label industry. At Shrinkflex, our shrink sleeve labels, with plastic bottles, can be processed and crushed into the recycling system. This innovation was certified by the American Plastics Recycling Association (APR), and we received the GreenShrink trademark last year. The qualification has proved another step toward success. In addition, we also offer flexible packaging that uses mono-material, which can be 100% recycled as well.
5. How has Shrinkflex established the ESG strategy? (ESG: Environment, Social, and Corporate Governance)
For many years before being listed on the stock market, Shrinkflex had been committed to driving the development of environmentally friendly products and sustainability schemes. Today, as a public company, our policy has been more functional and covers all departments.
For the Environment part, Shrinkflex provides concrete measures to reduce Carbon Footprint, such as oil and wastewater treatment systems, as well as solar panels installation in the factory. While the solar panels at our first plant help produce 450 kW of clean energy, the new set at our second factory will have the capability of up to 600 kilowatts.
For the social aspect, covering internal operations, business partners and nearby communities, Shrinkflex has demonstrated tangible actions reflecting our commitment to social responsibility. Especially for the employees, we emphasize personnel development and provide favorable welfare to improve their well-being.
For the corporate governance part, Shrinkflex has been rated 4-star corporate governance, known as the “Very Good” CG Scoring, by the assessment under the Corporate Governance Report of Thai Listed Company (CGR) project, powered by the Thai Institute of Directors Association (IOD). This award guarantees our excellent performance.
Finally, even before or after being listed in the market, I want to emphasize our consistent commitment to building a sustainable business. Whether by expanding strategic partners or adding value to our products and customers with various innovations, investors can trust Shrinkflex and grow sustainably with us.
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