Unilever Philippines to build new plant in Paco, Manila

Unilever Philippines is building a new plant in its Paco, Manila property that is expected to increase its production of deodorant products both for domestic and export sale.

This was announced by outgoing president Howard Belton who said that the new plant is targetted for completion by the third quarter of 2007.

Belton refused to give more precise information on the capacity of the new plant stating that details of the expansion would be announced at a later date.

However, Belton said that the expansion is part of Unilever’s growing export of deodorant products to the United States as well as to North Africa, Europe, and Southeast Asia.

Unilever Philippines, in fact, Belton proudly said, is the largest manufacturer of deodorant products in almost all variants except aerosol sprays.

Unilever Philippines now makes roll-ons, stick and squeeze spray deodorant variants.

It exports about 60 million stick deodorants and 10 million roll on deodorants.

The new plant, Belton said, would increase by as much as three times Unilever Philippines deodorant exports to the US and Australia.

Belton clarified that the US is still the biggest manufacturer of deodorants.

However, because of the cost effectiveness of Unilever Philippines, the US has begun importing deodorant products from the Philippines.

Unilever now has 23 percent of the US deodorant market, but Unilever Philippines only accounts for 20 percent of the 23 percent share of Unilever.

Unilever Philippines’ deodorants are marketed under the brands Rexona, Dove and Suave.

Unilever Philippines, likewise, Belton said, is also trying to help small and medium enterprise (SMEs) earn more from the packaging of the deodorant products from their current five percent to as much as 60 percent.

Deodorants, Belton said, have four components which provide high-value added earning for local SMEs.

Previously, Unilever Philippines’ exports of its Rexona mini sticks in 2005 reached  P550 million.

Unilever Philippines exports its Rexona mini stick to more than 30 countries.