Dutch firm expands production capacity

CEBU, Philippines - Swiss Sense Worldwide Incorporated, the manufacturer of high-end box spring beds and mattresses, announced to expand production in its manufacturing plant at the Cebu Light Industries Park in Mactan, Lapu-Lapu City.

Swiss Sense chief operating officer John Stout said the company, which has been operating in Cebu for the past eight years, is set to increase its production capacity from 30 thousand beds to 40 thousand beds a year.

The expansion will require another 100 to 150 manpower to add to its over 300 personnel working at the manufacturing plant in Mactan.

Stout said demand for lifestyle furnishings like beds and mattresses has been constantly on the rise, especially in the European market where people spend more on quality home furnishings to give the family more reasons to stay at home.

The Cebu plant is supplying the brand's 69 retail shops located in Netherlands, Belgium and Germany.

Aside from the growing demand, the planned expansion was also prompted by the opening of 10 to 20 more retail stores carrying the brand in other parts of Europe in the next few years.

Normally, people change beds in four to five years. Today however, people are changing their beds more often, as home furnishing products are becoming part of fashion.

Moreover, the robust growth in the hospitality and real estate developments in the Philippines has also prompted the company to open up to the local market, starting with tapping the new hotels and resorts, as well as bedroom furnishing requirements of upscale residential and condominium owners.

As an economic zone locator, the company is only allowed to sell 30 percent of its total production to the local market.

Stout said, the brand has started to gain attraction from the affluent market segment here.

In the last two years, the company posted an average growth of 25 percent to 35 percent. Stout attributed the company's export success to the excellent craftsmanship of Filipinos.

Prior to the company's decision to set up plant in the Philippines, the firm's top management seriously considered China. However, he said the Philippine's unbeatable advantage in craftsmanship, which is known as the world's producer of well-designed and classy furniture products, led the company to put its investment in Cebu eight years ago.

Swiss Sense also makes personalized and custom-made beds for clients, with average per bed cost of 2,700 Euro.

With headquarter office located in Uden, Netherlands, the company has been in the bed and mattresses business since 1918. Now, it has made the Philippines part of its worldwide growth as it only maintains one manufacturing plant in Cebu to supply the entire requirement of the  global market. (FREEMAN)