Saudi Medical Bandages Co Ltd (Shash), a leading producer of medical gauzes, has planned to embark on an expansion program for manufacturing a new range of medical products such as over-shoe & head caps for surgeons and nurses, face masks, eye pads, plaster strips, medical cloths and other related items. For the manufacture of medical cloths, the company has already installed 42 looms for weaving gauzes from yarns, disclosed Mr. Nizar Rashad El Sakka, Deputy General Manager of the company in an interview with Saudi Commerce recently.
Shash has stepped into the manufacture of these products as a means of import substitution.
Shash, which was established in the Dammam Second Industrial City and started its production in 1995 with an initial investment of SR 55 million, has currently raised its total annual output to around 45 million square meters of gauzes. Shash has now emerged as the Kingdom's leading manufacturer of these medical products.
Shash primarily produces gauzes. Its other products include absorbent cotton gauze rolls & bandages, all types of swabs (sterile & non-sterile with or without X-ray detectable), lap. sponges (sterile & non-sterile), dressing's sets, tampons and cotton balls.
Shash's gauzes are also being used by other companies as semi-finished products to manufacture an array of medical products, said Mr. El Sakka. Shash produces high quality Nizar Rashed gauzes from 100% pure cotton yarn imported mostly from India. It imports over 700 tons of cotton yarn a year.
In its plant, Shash uses fullycomputerized latest technology and machinery in order to manufacture international standards products. It has a modern laboratory for quality control and standard specifications.
"Our products conform to European Standards," claimed Mr. El Sakka.
Most of the Shash products are consumed locally. Its main buyers are Ministry of Health in Saudi Arabia and other GCC countries. Private and government hospitals, clinics and health centers in the Kingdom also buy a significant quantity of Shash products. In the local market, Shash has been facing a major problem competing with cheap and low quality imported medical products made of gauzes. "These products mostly come from China," said Mr. El Sakka. He said that Saudi manufacturers are now able to compete in the global markets with their quality products.
"Our products are now exported to many countries", he added.
Talking about his company's export business, Mr. El Sakka pointed out that Shash currently exports to Egypt, Jordan, Yemen and Sudan.
The company has also planned to expand its export markets to Libya, Algeria, Morocco, Palestine, Iraq, South Africa and a number of European countries soon. Shash has already received a big order from Iraq, disclosed Mr. El Sakka.
© Saudi Commerce and Economic Review 2006
