KUALA LUMPUR (Oct 6): Thermoformed food packaging products supplier SCGM Bhd, which diversified into personal protective equipment (PPE) manufacturing in March, hopes to export its face masks to the United States.
The group will be applying to the Ministry of Domestic Trade and Consumer Affairs (KPDNHEP) for approval to export to the US.
In a filing with the stock exchange, SCGM said its Benxon brand face masks, produced by its wholly-owned subsidiary Lee Soon Seng Plastic Industries Sdn Bhd, have been registered with the US Food and Drug Administration (FDA) for usage by the general public.
SCGM managing director Datuk Seri Lee Hock Chai said the group has beefed up its face mask production capacity to six million units per month from this month onwards, from 1.2 million units back in May.
"Thus far, we have been meeting demand for face masks in the domestic market. Hence, this FDA registration is an opportune development, as we seek new export markets for face masks," said Lee.
"In July 2020, we obtained approval from KPDNHEP to export 50% of our face mask production capacity to Singapore. Following this FDA registration, we will be seeking similar approval from KPDNHEP to start exporting to the US," he said.
"We believe that demand for face masks will continue to be stable, as the general population adapts to more stringent hygiene standards from here on," Lee said.
Shares in SCGM fell 10 sen or 3.22% to close at RM3.01 today, valuing the group at RM582.73 million. Year-to-date, the counter has soared by 96% from RM1.54.