German firm Henkel confident of hitting P2B in sales this year

German firm Henkel Philippines, which manufactures a variety of industrial as well as laundry and home care products, is confident of increasing its sales to P2 billion this year.

In a press conference yesterday celebrating its 30th anniversary, Henkel Philippines officials led by its president Dr. Norman Goldberg, country manager Manuel Tupas, marketing manager Raymond Antonio and human resource manager Armand Hicarte, also disclosed Henkel’s plan to enter the highly-competitive detergent bar market.

Henkel has two business units in the Philippines – technologies and laundry and home care.

The technologies division carries the broad adhesives, sealants and surface treatment products portfolio of Henkel with brands like Loctite, Liofol, Technomelt, Hysol, Multicore, Bonderite and Spectrocolor which are used by the semiconductor and electronics, automotive, aviation, metal processing and packaging industries.

Henkel’s laundry and home care division includes the brands Vernel, Perwoll, Pril, Dutch and Purex.

In 2004, Henkel also bought the Dial brand.

According to Tupas, Henkel Philippines’ total sales for 2005 amounted to P1. 7 billion.

Although they did not really want to give a projection of their expected sales this year, Goldberg admitted that Henkel Philippines has experienced an average growth rate of 10 percent to 15 percent over the last five years.

Thus, a P2 billion sales this year would easily be achievable.

While most of Henkel Philippines’ income is derived from its technologies division, Antonio disclosed Henkel’s plans to grow its laundry and home care division.

Henkel has already introduced a new powder detergent – Sky Clean – which it is initially importing from China.

However, Antonio said, Henkel plans to introduce soon a detergent bar which it would manufacture in its Laguna plant.

The Henkel Laguna plant currently produces the Vernel fabric conditioner, Pril dishwashing liquid, Purex bleach and a spray starch product.

Antonio acknowledged that the detergent bar market in the Philippines is very competitive and yet Henkel sees a good opportunity to enter the market with a product that would have German technology.