M'SIAN INSTANT NOODLES MARKET TO SEE STEADY 5-10 PCT GROWTH

By Samantha Tan

KUALA LUMPUR, April 17 (Bernama) -- The instant noodles market in Malaysia
will see steady growth of between five to 10 per cent this year, driven by
growing demand.

The market value currently is estimated at between RM800-RM900 million
(US$1=RM3.19).

Over the past eight years, the industry growth was higher than the country's
gross domestic product (GDP), according to the World Instant Noodles Association
(WINA) Governor for Malaysia, Izham Mohamed.

"The growth is based on increasing demand and the shift from fresh noodles
to instant noodles.

"It is also due to a change in food culture where more people are taking
instant noodles as a meal, rather than a snack," he told Bernama in
conjunction with the upcoming 7th World Instant Noodles Association Summit.

The two-day summit will be held from April 20-21, with "Earth Food: Making
It Happen" as the theme, at the Mandarin Oriental Hotel and the Kuala Lumpur
Convention Centre (KLCC).

The event is being hosted by Nestle Malaysia.

Izham, who is also the Executive Director, Food Business Unit of Nestle
Products Sdn Bhd said, Malaysia was selected to host the summit due to its
halal commitment.

It was also he added, due to Nestle having gained recognition for its
production of the Maggi instant noodles for local and export markets.

He pointed out that local instant noodles manufacturers must be competitive,
efficient and dynamic to face the stiff competition from regional industry
players.

With more imports coming in following the Asean Free Trade Area (AFTA) and
China-Asean FTA, it will also grow the market and on the other hand, create
competition for local instant noodles manufacturers.

"Local manufacturers must be efficient and dynamic following an influx of
relatively cheaper instant noodles from Indonesia and China. We must take the
competition positively," Izham said.

Another challenge faced by manufacturers is the rising cost of raw
materials like wheat and palm oil, Izham said, adding that, efficiency and
innovation is important to ensure the additional costs is not passed on to
consumers.

Izham also suggested that local manufacturers emulate the technology in
Japan and Korea, where these countries are very advanced in terms of the
noodles concept.

"Open up to changing patterns and technology to bring standards higher,
educate consumers and do promotions. Also, improve food safety and quality," he
said.

The 7th World Instant Noodles Association Summit, being held for
the first time in Kuala Lumpur, will gather more than 120 delegates from WINA
member countries.

These experts will discuss all aspects of the economic, environmental,
dietary, technical and social impact of instant noodles.

Among the countries attending are from Russia, Brazil, Vietnam, the
Philippines, Indonesia, Japan, Korea, Thailand, Taiwan, China, India along with
Malaysia.

A forum will also be held and among the speakers are WINA Chairman Koki Ando
as well as industry leaders in the manufacturing, design, advertising and
packaging of instant noodles as well as experts in the social and environmental
aspect.

"The forum will also facilitate greater networking among representatives
from the many supporting industries with top executives from the world's
leading instant noodles manufacturers," Izham said.

The summit coincides with the birth centenary of the inventor of instant
noodles and WINA founder, the late Momofuku Ando, who established Japanese
instant noodles giant, Nissin Foods Holdings Co. Ltd.

With more than 300 people expected to attend the summit, Izham said it would
a great avenue for industry players to share knowledge and technology, exchange
market trends and also address issues facing the industry.

Meanwhile, WINA Deputy Chief Executive Norio Sakurai said the organisation's
objective is to improve the industry and enhance people's diet around the world
by improving the quality of instant noodles.

"With 93.6 billion servings consumed globally in 2008 alone, WINA feels
there is a solid foundation from which instant noodles can become a global
dietary staple," he added.

According to Sakurai, consumption of instant noodles is expected to hit 100
billion servings in the next two to three years, driven by emerging markets like
Ukraine, Nigeria and Russia.

-- BERNAMA