Category: Living

Retail News Asia is committed to providing both local and global retailers with the latest Living news throughout the Asian market. This on a daily base.

  • Myanmar National Airlines connects to Sabre

    Myanmar National Airlines connects to Sabre

    Myanmar National Airlines will now distribute its fares via Sabre

    Myanmar National Airlines‘ expansion strategy has taken another step forward, with the signing of a new distribution deal with Sabre.

    The Yangon-based airline started distributing its fares to travel agents last month via the Amadeus GDS, and it will now be able to access even more travel agents with the Sabre GDS deal. Effective immediately, the carrier’s fares and inventory will be made available to more than 100,000 Sabre-connected travel agents across the Asia Pacific region.

    “This agreement will help us to stimulate demand within the most important retail sales channel for Myanmar, supporting our ambitious expansion plans,” said Captain Than Tun, CEO of Myanmar National Airlines.

    “Shopping for flights to our 26 corporate and leisure domestic destinations becomes easy and more transparent, while we also promote our new international routes which have just started with Singapore.”

    In recent months Myanmar National Airlines has started taking delivery of a new fleet of modern aircraft, and also launched its first international services to Singapore. It now plans to add four more international destinations within the Asia Pacific region by early 2016.

    “Myanmar has become a strategic growth market in Southeast Asia for both tourism and trade. This agreement with Myanmar National Airlines provides travel agents across the region with access to the full domestic network, while the flag carrier enjoys a boost in ticket sales,” said Hans Belle, Sabre Travel Network’s vice president of supplier commerce & strategic partnerships for Asia Pacific.

  • Lawson, Three F in partnership talks

    Lawson, Three F in partnership talks

    Japanese convenience store rivals Lawson and Three F say they are “discussing options” for a capital and business alliance.

    The move was announced in a statement which was short on detail.

    Lawson, a subsidiary of Mitsubishi Corporation, is Japan’s second largest c-store operator behind 7-Eleven with a network of more than 11,500 stores in Japan, Indonesia, China and Thailand. Three F Co, headquartered in Yokohama, operates only in Japan where it has about 560 stores in Tokyo, Chiba, Saitama and Kanagawa.

    In the statement, the companies said an alliance would help boost their convenience store operations in an extremely competitive environment. Japan is a mature market, which is main reason its convenience store players are seeking growth offshore.

    While both companies will maintain independent management and protect their individual corporate brands and culture, they would conduct joint product development, procurement and promotional campaigns, and also share information that could boost management efficiency.

    “Both companies are determined to discuss ideas frankly and openly, with the aim of creating a concrete, workable alliance agreement. Further developments will be announced once they are finalised,” the statement said.

  • China Nepstar turns from loss to profit

    China Nepstar turns from loss to profit

    NYSE-listed pharmaceutical retailer China Nepstar Chain Drugstore says increased staff training and promotional activity fuelled a 12.9 per cent rise in sales in the latest quarter.

    In the three months to June 30, China Nepstar achieved US$125 million in sales, with same store sale up 16.7 per cent year on year. The company reported a net income of $1.4 million compared to a net loss of $2.5 million last year.

    CEO Rebecca Zhang said the same-store-sales growth had accelerated during the quarter due to higher store traffic as a result of effective promotions on pharmaceutical products and professional store service training.

    “While we focus on productivity at the store level, we also managed to achieve better operational efficiency by reducing our general and administrative expenses and constantly optimising our store management,” she said.

    During the second quarter of 2015, the company opened 38 stores and closed 59. As of June 30, it had 1948 directly operated stores in total.

    China Nepstar had a portfolio of 2155 private label products at the end of June 30, which now account for 14.7 per cent of its revenue and 22 per cent of gross profit.

    “As we gradually achieve recovery in growth on profit, we will focus on accelerating our organic revenue growth by fine-tuning our store management system and improving our store image to customers,” Zhang said of the business’ outlook.

  • Tesco Thailand to offer phone services

    Tesco Thailand to offer phone services

    Tesco Lotus Thailand is teaming up with CAT Telecom to offer a mobile virtual network service.

    The deal will see Tesco Thailand selling SIM cards to its 3 million Clubcard loyalty program members and other customers and marketing cellular network services under its own brand.

    CAT has similar partnerships with True and Real Move, among others. Real Move accounts for 80 per cent of its capacity, serving 13.5 million customers.

    The 50-50 joint venture partnership will run until CAT’s current licence expires in 2025, with Tesco Lotus marketing commencing next year. CAT will lease space on its network and Tesco Lotus will develop a marketing plan and distribute SIM cards.

  • HSBC to rebrand Britsh retail operation as HSBC UK..

    HSBC to rebrand Britsh retail operation as HSBC UK..

    The bank, which is based in Britain and has operations in 73 countries, announced in June that it would rebrand its UK business – and fuelled speculation it could potentially sell them off – as a result of the rules that require high street banking to be ringfenced from investment banking.

    HSBC announces today that the name of its UK ring-fenced bank will be HSBC UK.

    It was not immediately clear whether the red and white logo that HSBC uses across its global operations, and which features on airbridges at Heathrow airport, will remain part of its UK facias.

    “Adding “UK” [will] distinguish the ring-fenced bank from the non-ring-fenced bank”, it helpfully pointed out.

    The famous old Midland Bank name will NOT be revived on the high street after finance giant HSBC decided against restoring the brand.

    Feedback indicated that the HSBC brand represents strength and connectivity, supporting the domestic and global ambitions of our customers.

    The news comes just days after HSBC became the latest UK bank to be affected by a processing error which temporarily affected payments to customers.

    However, a person close to the bank said the decision about the branding of its ring-fenced operation should not lead investors to draw conclusions about the outcome of the domicile review.

    But in a statement this morning, HSBC said that after a “consultation process with retail, private and commercial banking customers, as well as customer-facing staff” (we wonder how much that cost), it had chose to opt for HSBC UK.

    But the business was bought by HSBC in 1992 and branches were re-named in 1999.

    It has been hit by the banking levy introduced since the financial crisis – seen as a key reason why HSBC is considering relocating away from London and possibly back to Hong Kong where it originated.

    While HSBC’s bill from the Bank Levy will reduce over time, the impact on its overall tax burden remains unclear because of a new Corporation Tax surcharge that the Chancellor has also chose to implement on banks which make profits of more than £25m.

  • Kumamon arrives in Thailand

    Kumamon arrives in Thailand

    The first official theme stores of Japanese bear character Kumamon have opened in Thailand’s capital city, Bangkok.

    Kumamon is a mascot created by the government of Kumamoto Prefecture in Japan. It was created in 2010 for a campaign called to draw tourists to the region after the Kyushu Shinkansen line opened. Now it has grown into an internationally-recognised character, especially in Southeast Asia where Japanese and Korean cartoon and animated characters, and fashion trends, are quickly adopted.

    The first Kumamon store opened on the third floor of Siam Paragon shopping centre, at B-Trends in late July. That was followed by a more recent opening at Studio B Trend in the Emporium shopping centre.

    The Thai rights to Kumamon have been acquired by ICC International, who invited Kumamon’s creators to visit Thailand during a recent trade fair.

    ICC says it plans to open more themed stores inside premium department stores in Bangkok and in other Thai provinces.

  • Bad medicine for Eu Yan Sang

    Bad medicine for Eu Yan Sang

    Traditional Chinese medicine retailer Eu Yan Sang lost $3.6 million in its last quarter, blaming weaker sales in Hong Kong and Malaysia.

    Its full year profit to June 30 was down 70 per cent on the previous year at $4.56 million, compared with $15.03 million in 2014.

    Fourth quarter sales dropped 15 per cent; full year sales a less dramatic four per cent to $350.4 million.

    In Malaysia, the company – like many retailers of food and discretionary goods – noticed a sharp decline in trade after the imposition of six per cent GST on April 1.

    In Hong Kong, it was the changing demographic of Mainland Chinese visitors to the territory to blame.

    “While the travel restrictions to Hong Kong imposed on mainland Chinese have affected parallel traders coming to Hong Kong to purchase Eu Yan Sang products, it has encouraged sales of our products at online sales platforms and at cross border, tax free outlets,” the company said in a statement.

    Eu Yan sang operates 252 retail stores and 25 franchised outlets. During the year it opened 13 in Australia, Malaysia and Hong Kong and closed eight in Singapore, China and Macau. A review of its Australian franchised stores saw it drop a new seven outlets.

    The news was not all bad for the Singapore-listed company. In its home market, net sales were up five per cent in the fourth quarter and four per cent over the full year – in an overall retail market best described as stagnant. Managed cited the introduction of new products and consumer marketing campaigns for the improvement.

    The company hopes continuing improvement in Singapore sales will help cushion the impact of the Hong Kong and Malaysia markets in the year ahead.

  • AirAsia Indonesia to be title sponsor of Bali Beach Run 2015

    AirAsia Indonesia to be title sponsor of Bali Beach Run 2015

    AirAsia Indonesia today proudly announced that it will once again be the title sponsor of Bali Beach Run, Indonesia’s largest beach run event.

    This year’s Bali Beach Run will see running enthusiasts from all over the world coming together and hitting the stunning beach of Kuta on September 6, 2015.

    Bali Beach Run is Indonesia’s first run of its kind, first introduced in November 2013 by PT. Trijaya Dewata. Bali Beach Run 2013 was as successful as ever with more than 1.500 runners taking part, and has since become a highly-anticipated event among local and international runners alike.

    Andy Adrian Febryanto, Commercial Director AirAsia Indonesia commented, “We are thrilled to once again become the title sponsor of Bali Beach Run. AirAsia is a brand that is synonymous with passion, energy and excitement, and we are excited to have our name emblazoned on an event which reflects all of these positive vibes.”

    “This year’s event is expected to attract more than 1.800 runners, including international runners from Asia and Australia. AirAsia’s wide connectivity across the region will allow international runners to fly into Bali at affordable fares, and to enjoy one of the world’s fun run-races,” Andy added.

    To cater to different types of runners, Bali Beach Run 2015 offers different categories, from 2.5 K, 5 K to 10 K. Children are also welcome to join this year’s race.

    Bali Beach Run 2015 registration is now open at www.balibeachrun.com. You can also register at AirAsia Bali Beach Run 2015 booth located at Kuta Beachwalk Mall, 1st floor, from June 6 to August 16, 2015. The registration fees are IDR 150,000,- for 2.5 K, IDR 200.000,- for 5 K, and IDR 250.000,- for 10 K. All participants will receive an exclusive race pack which consists of a jersey, race number and medallion.

    In order to accommodate runners from Jakarta, Bandung, Yogyakarta, Solo dan Surabaya, AirAsia offers special fares to Bali from as low as IDR 387,000,-* one way. These special offers are now up for grabs on www.airasia.com, sales office, call center at 0804 1 333 333 starting today until June 14, 2015.

    For ultimate travel comfort, AirAsia Indonesia offers Tune INSURE to protect guests against inconveniences while travelling. Starting from IDR 20.000,- only, AirAsia INSURE offers benefits such as personal accident benefits, loss or damages to baggage, and flight delays. Tune INSURE offers two hours on-time guarantee, whereby guests will be compensated up toIDR 800.000,-** for every flight delay of more than 2 hours from the departure time.

  • Hong Kong banks launch hotline to fight back against torrent of phone scams

    Hong Kong banks launch hotline to fight back against torrent of phone scams

    All retail banks in Hong Kong have set up hotlines for customers to verify the identities of their employees in a bid to battle a flood of phone scam cases.

    Banking chiefs said yesterday the hotlines – some exclusively for the purpose of verifying employees’ information – would be available through the websites of the Hong Kong Monetary Authority and Hong Kong Association of Banks, with each of the 21 retail banks also putting hotline information on their websites.

    Phone scams have evolved and increased in recent months, with scammers posing as bank employees trying to sell products to government departments and even the central government’s liaison office. Hongkongers have handed over more than HK$182 million over the past couple of months in cases that most often involve fake mainland officials.

    However, the authority’s deputy chief executive, Arthur Yuen Kwok-hang, said so far banks had received only 200 calls regarding cold-callers.

    “The numbers are low – much lower than we anticipated. I think this is because there isn’t this awareness among the public yet,” said Yuen.

    Yesterday, the Mandatory Provident Fund Schemes Authority – which handles the retirement funds of Hongkongers – received an inquiry about a suspicious call from its hotline. The MPFA confirmed the hotline only took incoming calls and reiterated that “it never contacts people to sell MPF products or set up meetings”.

    HKAB chairman George Leung Siu-kay said banks would never ask for full personal information of clients over the phone or by email.

    “[A bank employee] will only ask for partial information – like the last three digits of a Hong Kong identity card number,” said Leung. “They will never ask for passwords.” He also warned against calling back phone numbers on the caller ID.

    Leung said there were no statistics on the number of scam cases banks had dealt with since July, but they would “keep watch for suspicious transactions, especially among vulnerable groups”.

  • Thailand’s MEGA in JV with Sydna Farma to set up pharma unit in Indonesia

    Thailand’s MEGA in JV with Sydna Farma to set up pharma unit in Indonesia

    Thailand-based pharmaceutical firm Mega Lifesciences Ltd (MEGA)  plans to set up a production plant in Indonesia with Sydna Farma. MEGA inked a partnership with the Indonesian Sydna Farma last week for the same.

    The Thai company will hold over 50 per cent in the venture, according to MEGA’s chief executive officer Vivek Dhawan. The firm has earmarked an initial investment of $1 million by early 2017. “As planned, we will take around two years to study the market and do the research and development on our products and set up the plant right after that,” he said.

    Indonesia’s pharmaceutical market is estimated to be around $6.24 billion, taking one-fourth of the total healthcare market at $23 billion. “Indonesia is the largest pharmaceutical market in ASEAN with a strong growth rate of 12.5 per cent per annum. This joint venture will strengthen our presence in this region and drive our growth significantly,” he said.

    MEGA recorded revenues of 7.77 billion baht and net profit of 547.88 million baht in 2014. It hopes the net profit will grow 10 per cent this year riding on  factors such as baht depreciation, lower production cost and the launch of supplementary products. Over 70 per cent of its revenue comes from export and the rest from domestic market, which remained largely unaffected by the slowdown.

    The company hopes to double its revenue and profit in the next five years, following its aggressive expansion in ASEAN and Africa regions. “We see a great potential in Myanmar and in Africa as they still lack of good quality food and medicine. Therefore, the proportion of our revenue from these countries should increase from 10 per cent currently to 20 per cent soon,” he added.

    Each year the company has allocated the budget of $1-2 million for doing research and development on products to boost its market share and profit margin.

  • Philip Morris Starts Testing Investor Demand For Indonesia Cigarette

    Philip Morris Starts Testing Investor Demand For Indonesia Cigarette

    Philip Morris International Inc., which makes and sells Marlboro cigarettes outside the U.S., has started testing investor appetite for an over $1.5 billion sale of its shares in its Indonesian operation, according to people familiar with the situation, in what would be one of the biggest share sales in Southeast Asia this year.

    New York-based Philip Morris is talking to potential investors to place its shares in PT HM Sampoerna Tbk. through a rights issue and hopes to start taking orders from Sept. 21, one of the people said. Another person said a decision to go ahead would depend on market conditions.

    The sale will allow Philip Morris to comply with a pending stock-exchange rule requiring all Indonesia-listed companies to have at least 7.5% of their shares in public hands. Philip Morris currently owns 98.2% of the unit, which has a market capitalization of about $23.6 billion.

    Philip Morris is the top cigarette manufacturer in Indonesia, the world’s second-largest market for cigarettes after China. Given the limited number of freely traded shares in PT HM Sampoerna Tbk. (HMSP.JK), it is unclear at what price the shares would be sold to investors.

    The deal, if successful, would be the second largest equity-market transaction in Southeast Asia after a $1.7 billion initial public offering by Thailand’sJasmine Broadband Internet Growth Infrastructure Fund (JASIF.TH) in January. Deal activity in the region has been slowing due to volatile markets and Indonesia has been one of the worst hit.

    Indonesia’s Jakarta Composite Index is down 15.6% in the year through Tuesday’s close, the worst performer in Asia. The market has been rocked this year by a combination of negative events. Weaker-than-expected demand from China has put pressure on commodity prices, which has hurt Indonesia’s producers and exporters. At home, President Joko Widodo’s plans to increase economic growth through infrastructure spending have been met with disappointment as projects fail to mature and the government rolls out new protectionist policies.

    In late June, Philip Morris announced that the unit had engaged investment banks to assist in evaluating options for meeting the stock exchange’s mandatory float requirement, which takes effect Jan. 30, 2016. The statement didn’t name the banks or specify the amount to be raised, and Philip Morris declined to give further details.

    Goldman Sachs Group Inc., Credit Suisse Group AG, CitiBank Inc., J.P. Morgan and local firm Mandiri Sekuritas are managing the share placement.

    Bankers will be meeting investors in Indonesia, Singapore, Hong Kong, Malaysia and London for about two weeks to gauge interest in Sampoerna shares, one of the people said.

    Sampoerna sells clove cigarettes and is the distributor of Philip Morris’s Marlboro brand in Indonesia. The share should result in additional cash for Philip Morris without ceding any control in the Indonesia business. If successful, the sale will be the biggest such divestments in Indonesia this year.

  • Carrefour online store + Carrefour easy store

    Carrefour online store + Carrefour easy store

    French retailer Carrefour is embracing advanced technology to bring shoppers closer to its services in the fast-changing retail landscape.

    In June, the company launched its second Easy Carrefour store in Xuhui District. It’s a new initiative to cater to changing consumer habits and demand for neighborhood services in locations near residential or commercial areas.

    By the end of this year, Carrefour plans to open about 10 Easy Carrefour stores in Shanghai, Olivier Tollet, new format projects director of Carrefour China, told Shanghai Daily.

    “We have a much bigger plan but currently we’re still in the pilot phase,” he said.

    Regarding its e-commerce operations, Carrefour also launched its online shopping store www.carrefour.cn for its Shanghai customers in mid June and Tollet said he is pleased to see it working smoothly during the trial period.

    Shopping online

    “The basic idea of our website is to bring Carrefour products closer to consumers and all the products will be available for online shoppers,” he said.

    “Our intention is to duplicate the service wherever there’s a Carrefour presence in China, but we’ll go step by step for both formats,” he added.

    Easy Carrefour is offering products in three categories — immediate consumption, take-away, and groceries.

    By covering these categories, Easy Carrefour hopes consumers can find the right products and services when they need them.

    The Easy Carrefour store on Chaling Road N. also provides mobile top-up and credit card reimbursement in an effort to link consumers with online-to-offline services.

    Carrefour is looking for new locations for its Easy stores, and Tollet said they are targeting a combination of residential areas, transportation hubs and office areas.

    People living around or people passing by are basically the key customers Easy Carrefour aims to serve. Easy Carrefour is a new format adapted for people who value their time and convenience while shopping. It’s also adjusting the operations of the Easy Carrefour store step by step, with more services likely in the future.

    Commenting on Carrefour China’s e-commerce operations, Tollet said logistics is one of its key strengths as the chain can rely on its existing stores in more than 70 cities all over China.

    Merchandise ordered by consumers will be delivered from stores to their doorsteps, while packages ordered from e-commerce websites have to go through several dispatch hubs before delivery.

    Pick-up stations

    Currently, three out of Carrefour’s 29 outlets in Shanghai act as pick-up stops or stations for return of goods.

    Earlier this year, Carrefour China restructured its merchandise department and set up six territory merchandise centers to streamline supply chain management and leverage the advantages of a centralized procurement model.

    “The restructuring of the merchandise team is aimed at having new logistics capability to support the development of new formats such as our Easy stores and online shopping website,” Tollet added.

    Carrefour’s e-commerce operation is expected to launch in Beijing at the end of this year and eventually will be available all over the country.

  • Chinese shoppers keep Japan’s tills ringing

    Chinese shoppers keep Japan’s tills ringing

    According to the English-language Japan news site RocketNews 24, a few weeks ago two families got into a fight at a large retail outlet in Kobe over disposable diapers. Both families had come to the store when it opened in order to buy as many diapers as they could, only to discover that the store had already sold out. Apparently these two families knew each other from previous diaper-buying binges and harbored mutual resentments that turned physical. A store employee called the police, who broke up the fight. Neither party filed a complaint or disclosed what the argument was about.

    RocketNews speculates that the two families resell the diapers in China, since both have members who are Chinese nationals. Japanese diapers are particularly popular in China, and, in fact, this particular brand — Merries, made by Kao — is sold in China. Nevertheless, there’s obviously enough demand to support a lucrative resale market.

    It’s not as if the Chinese don’t make and sell their own disposable diapers, but when it comes to their children, consumers will pay a premium for Japanese products because they don’t trust domestic makers. This sensibility has been growing since 2008, when locally made baby formula caused the deaths of six children and sent thousands to the hospital after somebody adulterated it with melamine to make it seem as if the protein content was higher.

    It is illegal to import Japanese formula made in certain prefectures because of radiation fears, but apparently there’s substantial black-market trade in the product. Last month, 425 kg of smuggled formula made in Gunma Prefecture was discovered by authorities in Hunan province with an estimated retail value of ¥800,000.

    It’s often said that despite the diplomatic frictions that exist between Japan and China, they are dependent on each other economically and, as far as Japan’s dependence goes, it is very much influenced by Chinese consumers’ trust of Japanese products, which runs pretty deep.

    Some economists thought that China’s stock market plunge and the resulting government-approved devaluation of the yuan would hurt sales of Japanese goods both in China and in Japan, where Chinese tourists seem to be supporting the Japanese economy. But according to Luo Yiwen, the president of home electronics retailer Laox, speaking at an Aug. 13 news conference, the stock and currency issues aren’t having any negative effect on sales at his store’s duty-free shop, which caters mainly to Chinese visitors. As it stands, sales for January to June at the shop have more than doubled since the same period in 2014 to ¥45 billion, with profits increasing nearly eightyfold to ¥4.6 billion. Laox received 1.49 million Chinese customers last year, four times the number for the previous year, and “much more than we expected,” he said. He predicts not only that the devaluation of the yuan will not hurt sales, but that they’ll go up even more. He projects a net profit this year of ¥8.3 billion on sales of ¥90 billion.

    The two reasons for the strong Chinese tourist market are the lower yen and fewer visa restrictions for Chinese tourists. The Nihon Keizai Shimbun cites a third reason: more cheap flights between China and Japan thanks to the proliferation of low-cost carriers. The economic value of Chinese tourism in Japan bottomed out in 2011 at ¥813 billion due to the March 11 disaster, but rebounded to ¥1.8 trillion the next year. In 2014 the economic value was ¥2.3 trillion.

    In that year, 2.4 million Chinese came to Japan, which is actually less than the number of visitors from Taiwan, which was 2.8 million. The difference is that per person, the Chinese spent more: ¥231,000 compared to ¥125,000 for the Taiwanese and ¥147,000 for visitors from Hong Kong, who are counted separately from mainlanders.

    In fact, Chinese account for one-third of all the tourist money spent in Japan, and this figure is rising. The amount of money Chinese visitors spent increased by 83 percent from 2013 to 2014. More to the point, 55 percent of the money Chinese spend in Japan is for shopping. For all tourists, the average spent on shopping is 35 percent. In contrast, Chinese spend less on accommodation than visitors from other countries, which suggests they are more concerned with buying stuff than sightseeing.

    Also, according to a Tourism Agency survey cited in the Nikkei, it isn’t just rich Chinese who are spending. More middle-class Chinese are coming and buying things. Broken down by category, the agency says that 76 percent of Chinese buy “confections,” 63 percent cosmetics and perfume, 55 percent food, liquor and cigarettes, and 52 percent drugs and toiletries. Only 37 percent buy appliances, but when they buy them, they buy a lot. The average spent by all foreign tourists on electronics is ¥65,000. Chinese on average spend ¥88,000.

    Chinese tourists, in fact, seem to be single-handedly keeping Japanese department stores in business. Although airport duty-free shops are the main venue for Chinese purchases followed by “shopping centers,” department stores that offer tariff-free sales to foreigners are a strong third and, according to the Nikkei, the reason is that they know the designer brands they buy in department stores are “authentic,” meaning not knock-offs. (For what it’s worth, both real designer goods and their fake counterparts tend to be made in China.) And if it seems unwise to purchase such goods in department stores, which tend to charge more, they’re likely still cheaper than those bought in China, which may be subject to tariffs.

  • FamilyMart, Uny may put off business integration accord

    FamilyMart, Uny may put off business integration accord

    Retailers FamilyMart Co. and Uny Group Holdings Co. are mulling putting off the conclusion of a basic accord on their planned business integration to September or later, it was learned on Thursday.

    This is because Uny’s work to draw up measures to shore up its slumping general merchandise store operations has been delayed, informed sources said. The two firms originally planned to reach a basic accord this month.

    Still, there is no change in their goal of realizing the integration in September 2016 after obtaining approval at their respective general shareholder meetings in May the same year, according to the sources.

    FamilyMart, a major convenience store operator, and Uny said in March this year that they had started negotiations on integrating their operations.

  • Tesco saved 1m plastic bags Saturday

    Tesco saved 1m plastic bags Saturday

    Discount retailer Tesco Lotus said it saved a million plastic bags in the first day of a government campaign to stop use of disposable sacks on the 15th of every month.

    The Department of Environmental Quality Promotion has enrolled 15 retailers in the programme that began Saturday. Charkrit Direkwattanachai, Tesco Lotus’ head of corporate communication and sustainability, said the company has set a goal to save 40 million plastic bags in 2015 under its own “proud not to use plastic bags” campaign.

    The store began efforts to reduce plastic use in 2010 and so far has saved 50 million bags.

    According to statistics from the Pollution Control Department, the average Thai uses eight plastic bags per day; a total of 2.7 million tonnes of plastic and polystyrene foam waste or an average of 7,000 tonnes per day. Of that, 80%, or 5,300 tonnes, is plastic bags, which generally take up to 450 years to degrade.