Aiming to capitalise on the government’s initiative to make Thailand a medical hub in Southeast Asia, Thai firm Namwiwat Medical Corporation (Nam) and Taiwanese company Somnics Inc have joined forces to construct a new manufacturing plant. The facility, intended to serve as an export base, will produce a wide range of medical products, including sleep-enhancing devices.
Nam, a local sterilised medical equipment provider, and Somnics, a Zhubei-based firm specialising in obstructive sleep apnea treatment technologies, formalised their collaboration with a memorandum of understanding signed recently. The forthcoming factory, to be managed by this joint venture, will occupy a 10-rai site in Samut Prakan, informed Viroj Chaiturdkiet, the chief executive of Nam.
The two companies are in discussions with the Board of Investment about potential investment incentives in the medical sector, a field that the government is keen to promote. The investment plan should be finalised this month, with the construction of the factory anticipated to take around two years.
As the factory development progresses, Nam and Somnics plan to import and sell the iNap in Thailand. This intraoral negative airway pressure device, produced by Somnics, is an effective treatment for snoring. The partnership aspires to generate substantial revenue from the country’s healthcare sector, valued between 500 and 700 million baht annually.
Chung-Chu Chen, chief executive of Somnics, expressed his company’s decision to invest in Thailand stemmed from the government’s push for wellness tourism and plans to establish the country as a regional medical hub.
“Thailand is our good choice. It will be an export base in ASEAN.”
The firm also anticipates the burgeoning tourism in the country to bolster the demand for healthcare products, reported Bangkok Post.
Nam plans to ink two or three more business partnership agreements this year to benefit from the domestic healthcare industry. The firm forecasts a revenue growth of 12 to 15% this year, partly driven by state budget spending, which is expected to enhance people’s purchasing power and stimulate the economy. Last year, Nam recorded earnings of 1.09 billion baht, netting a profit of 176 million baht.
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