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obmar

An industry rises to the occasion

BizFocus:
An industry rises to the occasion
By Ooi Tee Ching
bt@nstp.com.my

August 10 2007

UNKNOWN to many, Malaysia is the world's leading condom exporter despite being only the fifth largest producer globally.

There are 15 registered manufacturers, and last year, they exported condoms worth RM143.8 million, according to data collated by the Plantation Industries and Commodities Ministry's agency, the Malaysian Rubber Export Promotion Council (MREPC).

Since 2000, exports have been growing at around 15 per cent annually. In just six years, until 2006, exports have more than doubled in value.

Condoms are classified as medical devices Class IIB, just like catheters and surgical gloves. Condoms are life-saving tools and are therefore produced in a clean environment and thoroughly tested as a safe-to-use product.

But unlike rubber gloves, more investment is needed in quality controls to ensure the condoms do not leak and that they comply with other specifications of strength, length and visual properties.

Also, every piece has to be hermetically sealed to prevent escape and entry of air.

A newcomer to the industry, three-year-old Nulatex Sdn Bhd estimates that at least RM5 million is needed to start a small condom factory.

Chan Cha Lin, the managing director of Nulatex, said the condom business is not an easy one to break into. "It is the ability to produce high-quality condoms that comply with the ISO 4074:2002(E), World Health Organisation (WHO) and ASTM D3492-03 standards," he said.

"While we are constantly challenged to come up with the thinnest possible variant, every piece of condom exported must be durable enough to pass a series of electronic, water leakage and air bursting tests," he added.

The ISO 4074:2002(E) mandates 100 per cent electronic pinhole tests on every condom.

In an electrolyte water test, condoms are filled with water before they are lowered into a tray filled with water. If there are pinholes in the condom, water from inside the condom will come into contact with that on the outside and trigger a conduction.

Then, there is the burst test where air is pumped into condoms like for balloons. A condom of 52mm width must be able to hold a minimum 18 litres of air and record air pressure of at least one kPa before bursting.

Manufacturers also measure width uniformity in a condom by laying it flat across a ruler. Condoms are sold at varying widths of between 47mm and 58mm, of which 52mm is the most popular.

The ISO 4074:2002(E) standard requires a minimum length of 160mm, but the WHO mandates longer condoms of 180mm.

Indeed, one size does not fit all.

"The condom is always right. It is whether the consumer is using the right condom," Pleasure Latex Products Sdn Bhd executive director Heng Bong Kin said.

"If the consumer uses condoms that are too tight, they will feel discouraged and say the condom kills sensitivity. On the other hand, if they buy condoms that are too loose, it will slip off and that defeats the purpose of preventing contact of bodily fluids," said Heng, also known as Malaysia's Condom Captain among industry circles.

Pleasure Latex churns out up to 600 million pieces a year from its factory in Klang, Selangor, and prides itself on its ability to deliver 70 million pieces to overseas customers in 60 days.

It makes 38 variants of coloured, textured and flavoured condoms, and distributes them under the SURE brand to 85 countries.

Generously-lubricated and "superstrong" condoms which can withstand a force of 100 Newtons, are a favourite among homosexuals. "We have specially-designed condoms, of 0.1mm thickness for gays and we see growing demand from Latin America and the European Union," Heng said.

Among the myriad of choices available on the global market, pink and strawberry-flavoured are the most popular, Nulatex's Chan said. "Perhaps there's a perception that pink is sexy," he said.

"Consumers are requesting thinner condoms. We're now developing a new variant that will be the thinnest among those produced in Malaysia," Chan added.

He said Nulatex will introduce "the ultra-thin condom" into the global market under a new brand soon. Currently, its main labels are "FEEL" and "GOOD TIMES".

Besides offering extensive product choice to global consumers, manufacturers need to take note of the way of life in different regions of the world.

Second board-listed Takaso Resources Bhd, which has been exporting condoms for more than 30 years, said that in Asia, condoms are sold in pharmacies and handed out at hospitals. In Europe, however, consumers categorise condoms as a household product.

"Europeans buy condoms at the grocery stores and keep them in their kitchen cabinet," managing director Francis Tee said.

He tells of European parents who have no qualms in fishing out condoms from the kitchen cabinet and tossing them to their daughters on a Friday night out with parting words like, "Here you go. If it is going to rain, make sure he wears this raincoat."

For a long time, a condom was considered as just a contraceptive or protection against the transmission of venereal diseases or HIV that leads to AIDS.

Takaso recently added new sizzle to its product line-up when it developed the "Vibradom".

"We want our customers to enjoy using condoms and decided to develop a new variant that enhances sexual pleasure. Vibradom is now our best-selling product. It basically incorporates a vibrator into a condom," said Takaso product development manager Catherine Lim.

Launched in June last year, Takaso sees average sales of 200,000 Vibradoms a month in the overseas market.

"With this product, there is every reason for couples to enjoy using our condoms," said Lim, who is also Tee's wife.

China is the biggest condom importer in the world despite having just 25 condom factories operating there. Just last month, the Beijing News reported that the Chinese Government had ordered all hotels, holiday resorts and public showers to provide condoms as part of nationwide efforts to fight the spread of AIDS.

The regulation, issued by the Commerce and Health Ministries, also requires pamphlets on AIDS prevention to be prominently displayed. This move follows an unusual step by the booming eastern province of Zhejiang in March to impose fines on hotels and bars if they did not provide condoms.

As early as 2000, it was reported that a hotel in Sichuan Province had become the first in China to provide condoms in its rooms. At that time, Sichuan had the fifth highest rate of HIV and AIDS in China, with injection drug use and sexual contact the primary means of transmission.

"People in China have an appetite for imported condoms and that poses bright prospects for us. In 2006, we shipped over 150 million pieces. Next year, we hope to double the shipment to 300 million pieces," Pleasure Latex's Heng said.

To facilitate this kind of demand, Pleasure Latex is investing RM7 million to expand production by 30 per cent to 800 million pieces.

Takaso's Tee is also preparing to cash in on tourist visits at the Beijing Olympics 2008. "Our condoms are already available at all 7-Eleven stores in Beijing, Shanghai and Guangdong," he said.

The Chinese Government lifted a ban on condom advertising in 2002.

"We see brighter prospects for our 'PLAYSAFE' and 'ROMANTIC' condoms in China. People tend to use more condoms when they travel," Tee said in an interview at the company's factory in Muar, Johor.

"Apart from the tourist factor, China's 'one child per family' policy greatly encourages condom use," he said.

Currently, Takaso churns out 260 million condoms annually at its Muar factory and exports 90 per cent. By the end of the year, the company will invest RM10 million to ramp up production by 35 per cent to 350 million pieces.

Nulatex, another manufacturer in Johor, can make 200 million pieces of condom a year. "About 95 per cent of our condoms are shipped out to 12 countries. While our biggest market is Africa, we're looking for distributors in more countries, and China is one market we really want to penetrate by year-end," Chan said.
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The Inquisitor

That's pretty funny obmar.

I don't know if it is such an honor to be the condom capital of the world, but at least it's something.

Laughing
obmar

any condom used, the likelyhood of coming all the way from malaysia is more than it coming from any other place.



Very Happy

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