CONSUMER GOODS INDUSTRY ON THE THRESHOLD OF TRANSFORMATION

By Ravichandran D.J. Paul

KUALA LUMPUR, Oct 5 (Bernama) -- The change in taste and increasing
sophistication of the Malaysian consumers are set to transform the nation's
RM4 billion annual consumer goods market.

Efficient Consumer Response (ECR) Malaysia chairman Datuk Paul Low Seng Kuan
noted that consumer goods are important growth area for the nation's economy,
with an annual growth rate of between eight and nine per cent.

While previously most Malaysians were price conscious when shopping, now
they seek information at the point of purchase to check on the content and
quality, said Low, who is also Vice-President of the Federation of Malaysian
Manufacturers (FMM).

With more Malaysians achieving higher education and the nation gearing up
towards a developed nation status, Malaysian consumers are beginning to relate
their purchase with concerns like sustainability of resources, safety and
health, reducing carbon footprint, preserving the environment and even halal or
non-halal.

Low said this to Bernama at the two-day 12th ECR Asia Pacific Conference
that started here Tuesdy.. Some 300 top executives, supply chain leaders and
academics worldwide are attending the biennial event hosted by FMM.

With the change in consumer attitudes, consumer goods manufacturers,
suppliers, distributors and wholesalers also must look into ways to fulfil the
consumers' changing aspirations by adopting sustainable solutions.

Low pointed out that as the consumer goods market has huge potential,
especially with the expansion of wholesale and retail sectors being part of the
National Key Economic Areas (NKEA) target, the sectors have to adopt innovative
approach in expanding the market.

Co-Chairman of ECR Asia-Pacific and Senior Vice-President of Unilever Asia
Alex Von Behr noted that consumer goods have been enjoying good growth.

Von Behr, who is also the conference chairman, said the event provides the
opportunity for all parties in the supply chain to share the best practices and
the latest technology in the consumer good segment and also to establish
collaborations.

Issues like sustainable resources, recycling, product information relating
to consumer goods will be looked into to match consumers' aspirations and
offerings from the supply chain.

Consumer Goods Forum Managing Director Jean-Marc Saubade, who delivered
the keynote address, said the forum helped all parties involved in the supply
chain to speak in one voice.

The Paris-based consumer goods network works along five priorities --
emerging trends, sustainability, operational excellence, knowledge sharing and
people development -- to help both consumer goods supply chain and consumers.
-- BERNAMA