D.I.Y furniture material becoming prevalent in South East Asia

"We penetrated the South East Asia market last year, and we are now eyeing similar opportunities for the DIY industry in the region," Deputy Managing Director Danny Owee said.

Dominant Enterprise is a public-listed company on the Bursa Malaysia Main Board.

Among its businesses are manufacturing environment-friendly engineered wood moldings, laminated wood panel products, distribution and export of a wide range of wood products worldwide.

Owee said the company would now focus on maintaining and growing its market share in existing markets by continuously innovating and introducing new products for its customers’ selection.

Last year, Dominant began the year on a positive note, having undertaken initiatives to strengthen its business operations, he said.

"It had improved operational efficiency at its plant in Sunga Buloh, undertook expansion plans at its factory in Muar and had expanded distribution network to broaden its reach to the target markets.

"However, due to the global uncertainties, much of the year has been challenging in the face of lower demand and increased competition.

"Nonetheless, we are satisfied that our manufacturing division has performed commendably as a result of our market expansion drive into South East Asia and new product development.

"At the same time, our distribution division has not only increased its market share in the domestic sector, but has also penetrated into new markets such as Thailand, the Philippines and Indonesia," he said.

On the industry's outlook, Owee said the laminated wood panel sector consistently had good growth prospects due to its key selling point -- environment-friendly alternative to solid wood.

"Moreover, the vast price difference of laminated wood panel while maintaining the aesthetic values are plus points for customers," he said.

The increasing scarcity of solid wood in the midst of a steadily-growing population globally also points to greater demand for laminated and moulded wood panel products that the company were producing.

"One must also note that our products are largely catered to the mass markets which assures sustained demand through the fluctuating economic cycles.

"Usually, easily available and highly flexible alternative wood panel products are customisable to meet end-users' varied requirements.

"We believe this augurs well for the industry's overall outlook," he said.

Owee said the company’s main challenge was the perception that laminated wood panel products were of low quality.

"It's not true across-the-board as there are various grades of products available in the market, ranging from high-end products to generic offerings.