Company operations

Business Scope

      • Overview of Fuburg’s products
        A. Diaper manufacturing, international sales (export and import) of various agent products.
        B. Manufacturing and sales of the following product (including but is not limited to) sanitary pad, condoms, medical devices, condoms, tissue paper, cotton pads, paper cups, paper plates and all kinds of paper processed products.


      • Main Product Sales and weight of Revenue (Unit: NT$1,000)
        Item 2018
        Amount Ratio to Revenue
        Adult diapers(diapers, cloths, and care pads) 566,224 35.99%
        Baby maternity supplies 567,293 36.06%
        Food 158,693 10.09%
        Other 280,905 17.86%
        Total 1,573,115 100.00%

        As a leading sanitary producing company, Fuburg and its Subsidiaries covers product of all age group (Junior to Senior).


      • Revenue Prospect of Market Growth
        A. Health care related products.
        B. Integration and development of healthcare platform.


Industry Overview

      • Market Overview 
         As mentioned, Fuburg is a company that focuses its base in dispensable paper products. As GDP per capita rises and life standard improves, demands for Fuburg’s product is expected to increase.
      • A. Adult care series
         Being the first company to sale adult diapers in Taiwan, Fuburg realizes the importance and potential adultery goods to fulfill the market. As the average population ages, senior welfare and nursing homes are being placed under the spotlight. As Chronic diseases become more common, incontinence is becoming a major problem.
         According to The Department of Health, 75% of the Elders are suffering from chronic disease; furthermore, 10% of those are lacking the ability of self-care. In 2016, total sales of Adult diaper increased by 14.4% and a senior population surge of 5.72%, showing a stable growth in the market. Secondly, as patients are becoming more accepting of diapers, statistical data from the Taiwan Paper Industry Association (see chart below) indicates that sales volume in the adult diaper market increased by approximately 2 times from 2001 to 2007. In addition, Seniors above 65 years old has increased from 1.973 million people in 2001 to 2.343 million in 2007.


        Item 2012 2013 2014 2015 2016 2017 2018
        Population of elders above age 65 (by 10,000 people) 260.8 269.8 280.8 293.8 310.6 326.8 343.4
        Sales volume for adult diapers (by 10,000pieces) 4.68   4.86   5.20 4.93 5.64 5.74 5.45
        Data sources:
        1. Ministry of Interior’s Statistics Monthly, the MOI’s Department of Statistics
        2. Paper Production Sales Statistics, Taiwan Paper Industry Association


      • B. Baby diaper and wet nap market
         Diapers are a necessity for the new born. As birthrate is continuing to declining, the ROC’s monthly statistical report pointed out that there are roughly 200,000 babies born in 2016. Due to the baby diaper market being more mature, fierce competition and rivalrous behaviors exists due to products homogeneity. Our company strive to create environmentally free and recyclable products by using kapok and aluminum as our major component. The market still has potential for future development, as this use this product has expanded from baby care to general use and use by caretakers.
      • C.Condoms 
        As the plague of the century, AIDS, and other STDs are all transmitted through sex, this has become a contraceptive tool. In conjunction with active promotional efforts by the government and other organization and the increasingly more liberal attitude towards sex in Taiwan, usage volume of condoms is quickly growing
      • D.Others 
        Our company still has other health care and nursing products. As diseases of civilization are increasing in the modern age and people have higher standards for environmental quality, this market holds development potential.


Prospect of the Market

      • A. Adult Care Series  
         Products in the adult care series include: adult diapers, adult diaper pads, and adult care pads; Fuburg’s primary product centers around adult diaper.  
        • A、Supply
           Uprising opportunity in the South East Asia region in combination with the increasing in production output of diaper company, depicts insight into the potential regions for company growth.
        • B. Demand
           In terms of the Taiwanese market, sales volume for adult diapers is entering into a high growth period as the population structure ages. In the recent years, growth rate grew at 10% annually. When combined with the enhanced design, demand is foreseeing to grow. In terms of foreign exports, Fuburg market throughout Asia. We have already developed the Northeast Asia, Southeast Asia, and Hong Kong regions. Though it may be challenging to expand into the international market, Fuburg strive to progress towards becoming the No.1 brand in Asia in this field
      • B. Baby diapers and wet naps 
        • A. Baby Diapers
          (a) Supply
           Since the domestic market’s competition become more competitive due to low birthrate, Fuburg is looking across borders to integrate our international production bases to renovate and expand our product in to the junior market. 
          (b) Demand
           Depreciating domestic birthrate meant that Fuburg’s primarily focuses on expanding market in China, India, Indonesia, and the South East Asian countries.
        • B. Wet naps
          (a) Supply
           Wide range of selection and choices in the market available, thus company often compete via discount and customers choose the most economical choice.
          (b) Demand
           Although wet wipes are complementary goods to diapers, due to product being homogenous, brand image is non-existent across all firms. Fuburg is striving to create a new product to establish a leadership position.
      • C. Condoms
        • A. Supply
           As Taiwan can be considered an emerging market for condoms, both domestic and foreign brands try every method to enter the market. There are a dazzling number of styles available. Apart from innovations in style, quality and safety are the keys to increasing consumer loyalty.
        • B. Demand
           Taiwanese people are becoming more liberal in terms of sexual concepts and more education in prevention of STDs. Condoms have also become easy to acquire as they are sold in a variety of locations, including 24-hour convenience stores. This has caused an increase in condom demand, so there is great growth potential for the future market.


Competitive Advantages

    • A. Proactive investment in R&D to carry out R&D, develop, and ensure product patents
       Our company has always held a leadership position in terms of price, quality, and characteristics in the Taiwanese market. Although Fuburg currently hold a number of patents, our research and development team continues to develop new patents to make production more efficient and more demanding.
    • B. More than ten years of production experience in adult diapers (pads)
       Fuburg has more than ten years of experience in producing adult diapers (pads). Machine operation and product defective rates have all reached optimum. In addition, as all our worker undergo profession training, Fuburg’s product tend to be more refined.
    • C. Products with significant consumer approval
       As the products of competing firms are launched significantly later, their products poses no threat in relation to Fuburg.
      Advantageous elements
      • A. Development of GDP and Hygienic Habits
         As GDP continues to increase, there is a steady growth in incontinence hygiene products in the Taiwanese market right now. The demand for personal hygiene products which are disposable and convenient is continually increasing. For those who suffer from incontinence, it is clear that hygienic, convenient diapers will gradually be replacing diaper pads as a consumer trend. Demand volume is hardly ever impacted by economic prosperity or downturn.
      • B. High degree of brand loyalty
         AnAn has already become a synonym for adult diapers. There is high customer satisfaction as well as loyalty, making it the nest choice for Taiwanese customers amongst products of the same category. Despite this, our company still continues to develop new products with the principle of innovation and research in order to further fulfill customer needs and secure our leadership position in the market.
      • C. Utilization of marketing strategies and Persistent quality
         Our company has always valued research and development and product quality. We have implemented the TGM plan in recent years, executed a plan to improve quality control in raw material suppliers, and worked towards quality assurance and environmental quality assurance certifications. Our insistence on outstanding quality has long since won the trust of our clients. In addition, we have created added value for customers with our cost lowering improvement projects. Through flexible marketing strategies, we leave a lasting impression on our customers, ensuring the leadership position of our products on the market.
      • D. Positive outlook of foreign markets, much market potential
         As there are large populations in the markets of Northeast Asia, Southeast Asia, and Mainland China, the potential of these markets should not be overlooked. With the dedicated efforts of our company’s business team, we now enjoy a certain degree of product notability and market status of Northeast Asia, Southeast Asia, and Mainland China.
      • E. Formation of aging society, steady growth of demand 
         the elder market is experiencing rapid growth, the market for adult incontinence products will emerge alongside an aging society. There is no dispute that there will be a steady growth in demand. There is immense hidden market potential in the demand for establishment of residential apartments and care facilities for elders. Our company is also continuing to develop products of this series in order to develop and maintain related markets so as to enable us to expand the customer base we serve and increase market share.