BOI OKs P560-M Uratex Bulacan plant

Homegrown mattress maker Maxiflex Philippine Corp., popularly known as Uratex, has secured the nod of the Board of Investments to establish a P560.4 million manufacturing plant in Plaridel, Bulacan.

Its application was approved as a new export producer of mattresses under the 2022 Strategic Investment Priority Plan of the Corporate Recovery and Tax Incentives for Enterprises Act.

The manufacturing plant will have an annual production capacity of up to 680,000 pieces of all-foam and spring mattresses, and is slated to start commercial operations in October 2022.

Uratex targets to export around 79 percent of its production to the United States, New Zealand, Papua New Guinea, and countries in the ASEAN region. At full capacity, the firm’s export sales are expected to reach over P2.1 billion annually.

“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,” said Trade undersecretary and Managing Head of the Board of Investments Ceferino Rodolfo.

“Uratex has long been known in the Philippines as it is the leading manufacturer of mattresses here. The exports of its Maxiflex product around the globe will provide greater traction and awareness for Uratex as a world-class brand,” he said.

The new Bulacan facility will be capable of combining different foam and spring materials to create innovative products intended to ensure very comfortable sleep for customers.

It is equipped with bedding and mattress testing machinery that can conduct various performance and durability tests to make certain that the mattresses not only fulfill the intended purposes for which they were designed, but also comply with global industry standards.

To attain high shipping efficiency in the distribution of mattresses, Uratex will be employing a volume reduction packing method, its packaging equipment having the capability to compress and roll pack foam and spring mattresses to optimize space. This is deemed a technological breakthrough in the global mattress industry, providing greater opportunity to bring these high-quality mattresses to all the islands in the archipelago at more efficient logistics and distribution costs.

The Uratex brand has been able to hold its own in the Philippines, maintaining its dominance despite the entry of global brands Tempur, Serta, Ikea, and Emma mattresses.

Aside from Uratex, the Philippines has Salem, Philibed, and Mandaue Foam as manufacturers carving their niches in the competitive mattress market.

According to Statista.com, the domestic mattress market is expected to reach $41 million (over P2 billion) in 2022, and projected to grow yearly at 9.45 percent annually in the next four years with the market reaching nearly $60 million by 2026.

As of 2021, Philippine exports of mattresses reached $102 million while imports were $36 million, resulting in a surplus of around $66 million, per Tradeline Philippines.

The top export markets for mattresses are the Netherlands with $58 million, the United States ($35.4 million), and Japan ($8.1 million).

Leave a Reply

Your email address will not be published. Required fields are marked *