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The original article is taken from TheStar, Monday April 9, 2007
 
   
  Noodles maker gears up for more growth  
     
  By RACHAEL KAM

After three decades in the instant noodle business, Vit Makanan is modernising its operations and has become more aggressive in its marketing efforts

 
     
 

WHEN it comes to instant noodles, Vit's would be one of the brands that come to mind. Vit Makanan (KL) Sdn Bhd has been making instant noodles for 31 years.  

The company started out with an 8,000-sq-ft factory in Shah Alam in 1976. One year later, it moved to a 33,000-sq-ft outfit in Selayang when its business began to expand rapidly. 

Today, the company has over 100 employees in its 105,000-sq-ft head office and plant in Rawang, Selangor. Its revenue was RM18mil last year. 

Managing director Lai Ah Lek said he was optimistic that the company would get a bigger slice of the market although the challenges remained strong. 

“We aim to build a stronger brand by expanding our customer base in the local and overseas markets,” he said. 

He noted that noodle had become the second main food sources for people nowadays after rice. 

instant noodles quality check
Lai Ah Lek (second left) and his son, Lai Yaeh Tat (right) showing how quality check were done at the company’s plant in Rawang, Selangor.

Lai said the company would focus on research and development to ensure that its noodle products' meet market requirements. (The products do not contain MSG or artificial preservatives.) 

Lai said that currently, Vit Makanan's high-tech plant used automated machinery imported from Japan.  

“We have two production lines, which operate at 75% capacity with daily output of 300,000 pieces instant noodles and 70,000 air-dried noodles,” he said. 

The company manufactures various types of halal noodles, including Vit's instant noodles with various flavours, economy-pack Vit's instant noodles without flavourings, Vit's air-dried noodles and Vita instant noodles. 

The Vit's products are supplied to local and overseas hypermarkets, supermarkets, sundry shops, retailers, wholesalers, distributors, coffee shops and restaurants. 

Lai stressed that its air-dried instant noodles were dried in the oven and did not go through the oil frying process. These oil-free noodles are well accepted by its health-conscious customers, who include vegetarians. 

He said Vit Makanan also used palm oil to fry its instant noodle as it contained natural preservatives. 

“Currently, the instant noodles with various flavours and economy-pack plain are the best selling products, contributing 60% of the company's revenue,” he said. 

Its Vita instant noodles, which are only sold overseas, contributed 12% to revenue and the products had received good response over the years, he added. 

Lai's 26-year-old son, Lai Yaeh Tat, who is the company's business development planner and who has assisted him in running the family business since 2005, has plans that are expected to raise the company's sales to RM20mil this year. 

“Nowadays, with the advancement of IT, we can deal with overseas clients directly and get sales through the Internet or video conferencing,” said Yaeh Tat, an IT graduate from the University at Buffalo, New York. 

The company is currently implementing an enterprise resource planning system to improve the coordination between its various departments. 

Vit Makanan instant noodles
Vit Makanan manufactures various types of instant noodles for the local and exports markets.

Yaeh Tat said Vit Makanan's instant noodles were exported to Australia, Britain, the Middle East, Singapore, Brunei, Hong Kong, Thailand, Cambodia, Papua New Guinea and South Africa. 

“Countries like the United Arab Emirates, Egypt and South Africa are where we plan to expand further. Our products' good quality and reasonable pricing meet their demand,” he added. 

Due to rising demand, the company plans to add a production line by year-end to increase its capacity. 

“We also plan to set up two more warehouses in the southern part of the peninsula. We are eyeing Johor, Malacca and Seremban,” Yaeh Tat said. 

The company now has two warehouses located in Kedah and Penang, which are used to shorten the delivery time to its customers. 

However, building a strong brand is Yaeh Tat's main target to move forward, as Vit Makanan aims to capture a bigger market share locally and abroad. 

“Last year, we invested RM200,000 in advertising and promotion,” he said, adding that the company would allocate at least RM400,000 this year.  

Though it planned to increase its overseas sales, Malaysia would remain Vit Makanan's biggest market, Yaeh Tat said. 

“We will be more aggressive in taking part in exhibitions organised by Matrade (Malaysia External Trade Development Corp),” he said. 

This, he said, would be one of the ways to build a positive image of its instant noodles in the market. 

 
     
 
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