Sri Lankan tableware manufacturer, Dankotuwa Porcelain PLC (DPP) is now focusing on markets in the Asian region, following a hit on their European markets, according to officials. “Europe was where we were primarily dependent on, but with the recession, the sales from this market were badly hit. Now we’re concentrating more an India, Malaysia, China, Singapore, Hong Kong, etc," an official told the Business Times.
He said that the hike in commodity prices, fuel prices, etc in Europe have made it near impossible to sell any luxury items such as porcelain. Analysts however say that DPP will need to brace itself for further challenges with patenting issues in their designs – especially in markets such as China and India. “It won’t be as easy as Europe, mainly because the designs will be copied in China and India,” an analyst said.
Meanwhile the company is open for any related acquisitions. "We're open to acquiring mines for sourcing raw materials and also firms relating to packaging,” the official said.
Two months ago, DPP said that its last year December quarter saw Rs 19 million profits as opposed to the Rs 43 million loss before. This was following the Rs 433.5 million capital infusion in this firm for 67% by Environmental Resources Investments and Cylon Leather Products in June last year. |
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