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Srithai Superware, a producer of melamine and plastic tableware, will proceed with plans to install new machinery and improve produc¬tion technology next year, as its export markets are safe from the global financial crisis.

"We'll reverse the global trend of sev¬eral businesses freezing their invest¬ment plans in light of the economic sit¬uation. Our rivals in the domestic mar¬ket may not be strong enough to expand their business. Besides, plasticgrain prices next year are forecast not to fluc¬tuate like this year, so this is a good time for us to continue our expansion plan," president Sanan Angubolkul said yes¬terday. Srithai has set a Bt400 million budget next year for the plan, with part coming from internal cash flow and the remainder from a longterm loan.

The price for plastic grains, the key material in making plastic tableware, shot up from Bt30 a kilogram to Bt80 before tumbling back to Bt30 at present. That made it difficult for Srithai to price its products this year.

Srithai's export sales remain strong, because the company this year for the first time received a Bt500 million melamineware order from giant fur¬niture firm Ikea, and such orders will continue in the future.

"Ikea is the strongest furniture retail¬er in the world, with branches world¬wide. Some of our markets, such as India and South Korea, have devalued their currencies, and this has hurt orders from both countries, but orders from Ikea can offset that lost business. This is why our sales this year are still good," he said.

Srithai expects revenue of Bt5 bil¬lion this year. It has exported melamine and plastic table¬ware to 95 countries worldwide, with the US and Europe taking 10 per cent each.

Srithai has also joined with Lock & Lock, a producer of vacuum plastic tableware based in South Korea, to set up a 5149 joint venture called Srithai Lock & Lock, with registered capital of Bt17 million.

Srithai distributed Lock & Lock products in Thailand for three years before deciding on the partnership. It expects sales from Lock & Lock prod¬ucts to hit Bt140 million this year and more than double to Bt300 million next year.

Srithai Lock & Lock plans to increase its registered capital to Bt200 million by 2010, in order to promote the brand in the domestic market aggressively and conduct research and development on innovative products.

Srithai Lock & Lock has two stores, in Seacon Square and The Esplanade, and plans to spend Bt10 million to open three more next year: one in Pattaya and two in Bangkok.