Medtecs Chosen as Asian Development Bank's Partner to Supply Vital PPE to Asian Developing Countries Amidst COVID-19 Pandemic
TAIPEI, Dec. 18, 2020 /PRNewswire/ -- Medtecs Group, a leading personal protective equipment (PPE) supplier based in Taiwan, had passed the rigorous procurement process of the Asian Development Bank (ADB) in June 2020 to become the ADB's supplier of critical protective gear for frontline health workers risking their lives in the fight against the novel coronavirus (COVID-19).
Medtecs has been operating in Cambodia since 1999 and employs more than 5,500 people at its Kampong Cham factory, with 82% of the workforce composed of female workers. These Medtecs workers have been working tirelessly to help produce more than 1.2 million medical garments for those who need them in 11 developing countries in the Asia-Pacific region, including their hometowns in Cambodia.
In response to global efforts to combat the COVID-19 pandemic, the Health Sector Group of ADB's Sustainable Development and Climate Change (SDCC) Department had mobilized funding to address this global health crisis in the amount of US$48.3 million, part of which was used to undertake procurement of urgently needed medical supplies.
"Our vision is to provide world-class medical products, services and protective wear to ensure that every frontline healthcare worker returns home safe. We feel very proud to be involved in this ADB initiative," said Medtecs Group CEO, William Yang. "Medtecs has always been committed to providing safe, comfortable protective clothing and equipment for healthcare professionals and workers since the company was founded more than 30 years ago."
Medtecs was one of the suppliers selected through the ADB's procurement process, and was awarded a contract of $5 million to PPE, including isolation gowns, coveralls and shoe covers, to be distributed to frontline health workers in 11 ADB member countries.
"The first batch of goods purchased under ADB emergency procurement guidelines for COVID-19 was manufactured in a developing member country (Cambodia), which is also one of the recipients of the finished product," said Jesper Pedersen, an ADB principal procurement specialist.
Medtecs' factory in Cambodia has provided stable jobs for people living in the surrounding area, contributing to the local economy, which is especially critical as the country grapples with economic fallout resulting from COVID-19 lockdowns. The production of PPE at the factory benefits COVID-19 patients, frontline healthcare workers, as well as the local labor market.
The entire production run at the Medtecs Cambodian factory, which consisted of nearly 1.2 million garments, took approximately one month, with the Group scaling up production to meet the surge in global PPE demand. The company now has a monthly production capacity of up to 18 million gowns, 4 million coveralls and 6 million shoe covers.
Finished products from Medtecs's factory all had passed independent third-party inspection, and distribution from Cambodia started in late June for transportation to various destination countries.
2020 has proven to be a breakthrough year for Medtecs, whose shares are publicly traded in both Singapore and Taiwan. Driven by surging global demands for PPE in the wake of the COVID-19 outbreak, the Group's revenue and after-tax net profit in the first 9 months of 2020 totaled $287 million and $84.63 million, a 4.74-fold and a startling 198-fold increase from the same period in 2019, respectively. Aside from soaring demands, Yang attributed Medtecs' stellar operating results this year to its ability to rapidly mobilize the Group's global resources, which, together with complementary measures, has created a powerful synergy.
Yang remains optimistic about his company's future prospects after the world stumbles out of the current crisis. According to reports and forecasts by various international organizations, demand for PPE will continue to grow by a compounded annual rate of 7% to 12% over the next five to seven years.
In response, Medtecs has decided to focus on promoting its "Global Stockpiling Services" for PPE, which enables the company to partner with governments, enterprises and even individuals around the world to provide holistic solutions to address procurement and management issues associated with stockpiles of PPE.
Yang has identified four key advantages for Medtecs in successfully expanding its Global Stockpiling Services. "First of all, we have been a long-term supplier for Taiwan and Singapore governments in terms of building up and maintaining their inventories for combat readiness. Secondly, we have more than three decades of experience in manufacturing and distributing PPE globally. Thirdly, we already have warehouses & logistics centers in Europe, Asia and North America," said Yang.
"Last but not least, our manufacturing facilities span many countries, and our sources for raw materials are diverse," said Yang, who also revealed that Medtecs plans to donate millions of face masks to benefit various organizations in the coming months.
Medtecs International Corporation Limited ("Medtecs", together with its subsidiaries, the "Group") is the world's leading supplier of personal protective equipment (PPE) and a trusted multi-national PPE stockpiling solutions provider to governments and group purchasing organizations around the world.
The Group commenced operations in the Philippines in 1989 and has since established a strong presence in the United States, Europe, and Asia Pacific. Medtecs was incorporated in Bermuda in 1997 and currently is headquartered in Taipei, Taiwan.
Medtecs has offices and facilities strategically located in Taiwan, Cambodia, the Philippines, Singapore and China. In 2020, the Group incorporated Medtecs USA Corporation, it's first subsidiary in the United States, for expansion into the local PPE and medical consumables market.
Medtecs is dual-listed in Singapore and Taiwan. For more information, please visit: http://www.medtecs.com/en/
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SOURCE Medtecs International Corporation Limited