BoI approves P560.4-M mattress project
THE Board of Investments (BoI) has approved a P560.4-million project of Maxiflex Philippine Corp. in Plaridel, Bulacan, which will export mattresses.
In a statement on Thursday, the BoI said the project will have an annual capacity of 680,000 all-foam and spring mattresses.
The BoI added that the funding for the plant will include an investment from mattress brand Uratex. Maxiflex and Uratex are affiliates of the RGC Group. The manufacturing plant will begin commercial operations in October.
Uratex aims to export around 79% of its production to the US, New Zealand, Papua New Guinea, and Southeast Asia. The company’s export sales are projected to top P2.1 billion a year once at full capacity.
“This will provide a boost to the international footprint of our locally produced mattresses since a great majority of Uratex’s production will cater to foreign markets, leveling up our exports of high-value and high-quality products,” Trade Undersecretary and BoI Managing Head Ceferino S. Rodolfo said.
“Uratex has long been known in the Philippines as it is the leading manufacturer of mattresses. The exports of its Maxiflex product around the globe will provide greater traction and awareness for Uratex as a world-class brand,” he added.
According to the BoI, the new facility will have bedding and mattress testing machineries that can carry out various performance and durability tests.
The BoI said Philippine exports of mattresses totaled $102 million against imports of $36 million, amounting to a surplus of $66 million in 2021. It was citing data from Tradeline Philippines.
The top export markets for Philippine mattresses are the Netherlands ($58 million), the US ($35.4 million), and Japan ($8.1 million).
“According to Statista.com, the domestic mattress market is expected to reach $41 million in 2022. It added that the market is projected to grow yearly at 9.45% annually in the next four years with the market reaching nearly $60 million by 2026,” the BoI said. — Revin Mikhael D. Ochave