"As industry and technologies evolve, the need for custom solutions and aftersales services has also become more prominent."

Dato' Palaniappan Joseph

MANAGING DIRECTOR, SATAKE TECHNOLOGIES SDU BHD

August 07, 2024

What are Satake’s capabilities in Malaysia? 

Satake’s R&D and manufacturing plants are in Japan, but we can do full commissioning of entire mixers in Malaysia. Satake’s strategy is to strengthen our presence in the Malaysian market and use the country as a base for ASEAN diversification. We leverage the Malaysia-Japan Economic Partnership Agreement (MJEPA), which scraps import tax levies applicable to our high-technology product, allowing us to transfer value and quality to our local clients. We have a small fabrication facility in Malaysia, solely focused on small mixers, predominantly for the SME sector. Our sales office in Malaysia is primarily focused on the domestic market, but we extend some support services to the ASEAN region. It can take up to 6-14 months from quotation to completion, depending on the complexity and Satake prides itself in walking the entire journey with our customers and being a long-term partner, focusing on adding value. 

In 2020, Satake Technologies undertook a restructuring exercise and emerged as a wholly Malaysian-owned company. This also marked the beginning of a new strategy that prioritizes the value through customer service, more than mere equipment. The company continues to evolve, and we are in the early stages of establishing a MRO Solutions. Mechanical seals are another sub-component of a mixer and by establishing mechanical seal fabrication, maintenance and repair overhaul solution, it demonstrates our commitment to customer satisfaction and enables us to provide comprehensive support to our clients throughout the lifecycle of our products. 

What are the main trends in the mixers and agitators’ sector? 

Satake predominantly serves the petrochemical, food, and pharmaceutical industries where safety requirements and regulations are high. Previously, customers focused primarily on cost, but the sentiment has shifted, with quality, precision, efficiency, and safety emerging as more important considerations. The trend towards sustainability and emission reductions drives the adoption of new generation mixers which can provide increased efficiency, reduce energy consumption, and ultimately cut costs. As industry and technologies evolve, the need for custom solutions and aftersales services has also become more prominent. Satake responded to this need by establishing a solutions division that provides maintenance services and long-term support to our customers so that their process can continue to be as efficient as possible. 

Could you elaborate on the knowledge transfer and skill-building capabilities that Satake developed? 

Satake collaborates with various R&D organizations and Higher Learning institutions from the government and private sector that specialize in areas close to our nature of work. As knowledge and experience in rotating equipment and mechanical seal are not widely available, we have set up a technology center to give young talents the opportunity to learn about our field. By developing local talents, it opens up employment opportunities for the locals as well as creating a thriving local economy. We have established a technology center Pasir Gudang, Johor, close to the Pengerang project, Bintulu, Kuching, Sandakan and Kota Kinabalu as a our way of giving back to the industry and transferring knowledge to develop local talent. 

What is the business environment like in Malaysia in 2024, in light of the New Industrial Master Plan (2030)? 

Malaysia is on the right path, and the government is seeing the importance of developing industries, such as oil and gas and chemicals. The government has recently launched the New Industrial Master Plan 2030 (NIMP), a policy for the manufacturing and manufacturing-related services sector, formulated with the intent to bring these industries to greater heights. Malaysia has the great advantage of a good supply chain mechanism to support the industry's growth, and there is also a strong focus on increasing the local workforce to fulfill the needs of the industry. Satake believes it is the right time to accelerate and provide meaningful support to this developing ecosystem through our innovative, high-quality, and high-precision products. 

Do you have a final message for our international audience? 

We do not only sell equipment but work with our clients from the process stage to design and build a solution that will enhance their performance and efficiency. We capitalize on our strong R&D, long history, and experience in the industry be a partner in the entire innovation process. 

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