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    P&G opens depot, sees larger demand
     
    By Miguel R. Camus
    Research staff
     

    Consumer manufacturing giant Procter and Gamble (P&G) is preparing for the continued growth in the demand for its consumer products as evidenced by the expansion of its distribution center in Cabuyao, Laguna.

    Procter and Gamble, the corporation behind household brand names such as Safeguard, Crest and Pringles, said the P380-million upgraded project is the biggest and most advanced P&G warehouse in Asia.

    Jim Lafferty, president and general manager of P&G Philippines, said the conglomerate decided to upgrade the plant because higher demand seen in the coming years. While he did not give details, he revealed that they are eyeing double-digit growth in sales specifically in the beauty and paper brands.  He cited Philippine sales figures of P&G in the last 12 months at over P30 billion, up from P25 billion three years ago. 

    The distribution center’s capacity was upgraded from about 40,000 pallets to 60,000 pallets.

    Lafferty added that the distribution center will also house products to be exported to other Asian destinations but said that more than 50 percent of the capacity was reserved for the Philippine market.

    He revealed that more jobs are being created as a result of the opening of the distribution center and that they are looking towards increasing P&G’s workforce by 10 percent. The P&G executive also said while the cost of doing business in the Philippines is still very competitive, certain inputs such as energy is “ very expensive” but added that this is just one component.

    For his part, Samuel Garcia, the P&G Cabuyao plant manager, reiterated P&G’s commitment to the Philippines as a valuable partner. “The Philippines remains one of the P&G’s top priorities and the new Cabuyao distribution center is proof of that commitment.”

    The upgraded facility in Cabuyao boasts of the latest warehouse management system, with wireless terminals for real-time transactions for the plant managers. It also claims of efficient energy and ventilation systems that comply with all environmental policy and local regulatory requirements. 

    Apart from the local brand names under P&G, the distribution center will also house imported P&G brands such as Pantene, Rejoice, Head and Shoulders and Vicks, among others.

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