Monday, March 26, 2007

Local personal care industry gears up for Japan venture

The Philippine local personal care industry is eyeing Japan as a market for personal care products with indigenous ingredients, the Center for International Trade Expositions and Missions (CITEM) reported yesterday.

Filipino products that use indigenous ingredients like alum (tawas), lawat, gugo and calamansi as well as the virgin coconut oil (VCO) have strong potential in the Japanese market, said Wakaba Nishida, a Japanese health and wellness expert who visited Manila and conducted seminar-training to Filipino exporters on entry tips for personal care products into Japan. The seminar was held during the National Trade Fair, a subcontractors’ fair for small enterprises from the regions.

“The Philippines, with its wealth of indigenous ingredients, is well positioned to take advantage of these market opportunities,” said Trade Assistant Secretary Fe Agoncillo-Reyes, executive director of the Center for International Trade Expositions and Missions (CITEM). CITEM and the Asean-Japan Center co-organized the personal care seminar.

To date, Philippine VCO is enjoying wide market acceptance as ingredient for cosmetic and personal care products like soaps, lotions, massage oils, beauty creams and shampoos aside from its therapeutic qualities.

According to the latest figures by the Philippine Coconut Authority (PCA), VCO exports rose from 1.8 metric tons in 2001 to 475 metric tons in 2005, which was worth more than $1.6M. The United States accounted for 93.79% of the deliveries. Aside from the US, Australia and Canada are the countries clamoring for the natural oil. And soon, maybe Japan.

Industry statistics showed that health and wellness is a 125-billion-dollar industry in Europe and in the US combined. “And still, the demand for organic and natural personal care products in the world market is expected to grow at remarkable rates: 34% in Europe, 30% in the US and 18% in Japan,” Agoncillo-Reyes added.

Meanwhile, Nishida also discussed the quality standards of the Japanese market including packaging and exporting.

Among those included in her lecture were labeling information, shipment processes, and packaging standards. As part of the lecture, she showed samples of other international brands currently making waves in the Japanese market like Shiseido, Clinique and Albion. She also made a list of the essential documents and certifications needed when making contact with interested Japanese buyers/importers.

The seminar also served as a primer for this year’s BIO-Search (the government’s health and wellness show) in conjunction with International Food Exposition (IFex) 2007, as it gathered SMEs who will participate as exhibitors in the upcoming trade fair. BIO-Search, a health and wellness show, will be held on May 18–20.

“The Philippines has the potential to become the prime source of personal care products in the global market. All we need is a push,” Assistant Secretary Agoncillo–Reyes stated.

The Japanese consultants’ 5-day mission in Manila included a 2-day on-site visit to four companies to discuss their products, namely: Elixir Pacific International Corporation (centrifuge-method virgin coconut oil), RCC Amazing Touch (wart and mole removers, natural cashew-based hair and beauty care products), Rainiers Research & Development Institute (tawas, gugo and calamansi personal care products), and Pascual Laboratories Incorporated (flavored herbal teas).

Ms. Nishida—who was invited by Assistant Trade Director of the ASEAN–Japan Centre Mr. Go Matsuura—is the President and CEO of Ayus, Inc. in Japan. After running her own spa for 10 years and drawing expertise in the field, she now specializes in importing health and wellness products and conducts trainings for the spa industry in Japan.

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