Daibochi to invest US$14 million on new printing, packaging lines

Malaysia’s flexible packaging manufacturer, Daibochi Bhd will invest RM60 million (US$14 million) on installing 13 new lines for printing, lamination and bagging processes. The new lines are expected to start operation by the end of 2020.
The investment is aimed at enhancing its services to customers in line with its long-term growth strategies.
Daibochi Executive Director Low Jin Wei said Daibochi’s resilient performance was buoyed largely by sustained orders for flexible packaging from the food and beverage (F&B) and fast-moving consumer goods sectors, despite the various lockdown measures implemented across the region. He said, “With the positive outlook, we are continuing to expand our capacity and capabilities. We believe that this strengthened position will enable us to capture more growth opportunities in Southeast Asia and Oceania.”
Daibochi might need to expand its workforce to support its growing operations. He added that Daibochi is considering plans to buy 8 more lines, as its business is part of the essential services category supporting the resilient F&B sector.
Low added, “We are seeing continual interest from our multinational clients for sustainable flexible packaging solutions, as they progressively implement sustainability targets across their global operations.”
Daibochi is also jointly working with Scientex in R&D efforts, and is collaborating with its clients to roll out new sustainable solutions such as mono-material laminates. It expects to see more product commercialisation in the near future.
Daibochi posted a net profit of RM10.8 million (US$2.54 million) on RM152 million (US$35.7 million) revenue in the 3rd quarter ended 30 April.