Toyo Ink starts Myanmar operation amid growing demand for packaging, adhesives
YANGON, NNA - Toyo Ink SC Holdings Co. has started operation in Myanmar of producing liquid inks for packaging, offset inks, and adhesives for films as part of its push into Asian markets.
The completion ceremony for the production base was held on Friday.
Toyo Ink Myanmar Co., a wholly-owned subsidiary of the Toyo-listed firm, is located in the Thilawa Special Economic Zone in Yangon, the biggest city of the country. The 2,800-square-meter plant on a site of 17,000 square meters started operation with 50 workers.
The Japanese ink maker anticipates that an entrance into the Myanmar market will help expand its Asian business. Its Asian and Oceanian enterprises accounted for nearly 80 percent of its overseas revenue, which represented 48 percent of its overall revenue in 2018.
“We want to contribute to a growth of the industry and an expansion of a supply chain in Myanmar,” Katsumi Kitagawa, Toyo Ink’s president, said.
The Myanmar plant produces liquid inks used for food packaging material for snacks and offset inks for books and papers. It also makes an adhesive agent for films adhered to food packaging to shut sunlight and prevent the humidity. Toyo Ink will also consider producing printing inks for plastic bottles and beverage cans.
Toyo Ink has tapped into 24 countries and regions, including Myanmar. In Asia, it already has production bases in China, India, and in seven countries of Association of Southeast Asian Nations (ASEAN), including Indonesia, Malaysia and Thailand.
Myanmar expects growth of demand in line with the population of 54 million. Japanese and other foreign food makers have expanded into the local market to produce packaged food, increasing demand for packaging materials.
Myanmar imports a significant amount of ink used for packaging materials from other countries. About 30 companies locally produce such a type of inks. The quality, however, of their products is not high enough, according to the Japanese company.
Taichiro Matsuoka, president of Toyo Ink Myanmar, said, “We can take advantage of our international brand as a strength as I am seeing a safety awareness of packaged food growing.”