Building networks, scaling solutions
7 Jul 2022
How The Incubation Network helps Thai startups navigate new markets and gain connections
Travel through Thailand’s villages or along the back streets of Bangkok and you will see an impressive display of creative energy being channeled into reusing, repurposing and recycling discarded plastics. It is second nature for many Thais to transform such materials into flowerpots, sunshades or any number of accessories that make daily life easier.
However, young entrepreneurs wanting to level up and focus that creative eco-energy into forming a sustainable business face many challenges. Not only is there often no clear pathway to success, there can also be obstacles to starting their innovation journey on the right foot due to a lack of knowledge about the support the government or private sector provides, how to secure funding, the right way to approach potential donors or corporate partners, and so on.
At The Incubation Network, we help startups address these issues and build firmer foundations for long-term success by providing mentorship and training programs, access to useful resources, and introductions to a wider network of entrepreneurs, policymakers, decision-makers and investors.
Introduction to industry makers
One of the most tangible benefits from enrolling in our programs is gaining exposure to a large network of industry peers. There are many out there, but it is not always clear to early-stage startups which are the right ones for them to try to connect and collaborate with.
Lanjakorn Amornkitbumrung, founder and CEO of ReNew Innovations, which produces CELLUNATE, an eco-friendly and recyclable coating to protect and waterproof paper, told me he found the opportunity to meet others in his industry an invaluable part of the Thailand Waste Management and Recycling Academy, which we run in partnership with Seedstars.
“A large part of our research and testing takes place in the lab, so getting out into the real world to talk with industry players gave us insights that helped us focus and move faster,” he said. “Many people in the program had experience in the fields of recycling and plastic waste, which gave us valuable info and strategies to use when we pitched to investors.”
Lanjakorn shared how he and his team were advised to focus on improving CELLUNATE’s viscosity so it could better withstand the heat, moisture and acidity that food packaging is exposed to. Achieving this goal would be a major breakthrough for the team as it would enable them to deliver a viable sustainable product in Thailand, a market where nearly 60% of total plastic leakage comes from the packaging sector.
Refining the core idea and focusing on the right message
The Thailand Waste Management and Recycling Academy has also helped entrepreneurs on the other end of the product life cycle. In 2021, PLA+ took part in the program to develop their proprietary bio-digester that transforms a mix of food waste and bioplastics into compost. Three years later, they are removing 100,000 metric tonnes of waste from landfills each year.
I spoke with Dr Noramon Intaranont, co-founder and chief research officer of PLA+, to hear her thoughts. “We found the mentoring program the most helpful part of the academy. Our mentors helped us refine our business model to make it sharper and more concise, making our pitch more realistic for a real-world business landscape. The mentorship process also helped us prioritize certain areas to increase the impact of our overall business model.”
She said Thailand will soon be among the world’s largest producers of polylactic acid (PLA), which breaks down naturally but only under certain conditions. The problem is that not many people know that their biodegradable plastic is not suitable for home composting, but PLA+’s bio-digester provides a solution.
“Fortunately, the academy gave us an opportunity to move forward so we can concentrate on solving these problems through education and raising awareness about waste sorting. This is even more important when you consider that Thailand has no industrial composting facilities for PLA.”
Advancing market share
The Thailand SME Scale Up Program, which The Incubation Network runs in partnership with Sasin Sustainability & Entrepreneurship Center and Weable2, helps Thailand-based SMEs in the plastic collection, aggregation, recycling and upcycling business to scale and expand operations.
When I talked with Pilaiporn Namsirivivat, marketing manager and a third generation family member of the Nam Ngai Hong Group, she explained how the company has grown since her grandfather opened his first plastic housewares factory in 1961. In 2019 they created their Nameco brand, which produces eco-friendly, bio-based plastic houseware products. She joined the Thailand SME Scale Up Program for Plastics Circularity because she knew it would help her move into an exciting but unfamiliar market.
“As a manufacturer, I primarily know other manufacturers so I wanted to meet producers who could teach me more about sourcing PCR (post-consumer recycled plastic). From the first day I was introduced to numerous people who could help us as we scale up our production. As we continued, I became more confident in analyzing what customers want and the nuances of our market.”
Pilaiporn knows she will need to continue solving new problems, especially as Nameco expands and its production demands increase. Currently, Nameco contributes 5% to Nam Ngai Hong’s output with the aim of increasing that to 15% by next year as they expand their product range into lunchboxes, bottles and cutlery.
Anantachai Namsirivivat, Nameco’s Head of Engineering and also a third generation member of the family that founded the company, added that The Incubation Network’s programs have also helped the company in more subtle ways. “We have been producing traditional plastic for so many years that it’s often hard to move into new areas and try new things. But at Nameco, after expanding our network and learning these new skills, we are much more confident in showing people how even a small plastics factory like ours can make a difference.”
Startups, small companies and entrepreneurs often have great ideas and we believe partnering with The Incubation Network will help them realize their true potential.
Join The Incubation Network for free to access resources and tools, learn more about our programs and see how our network can support your efforts to end plastic pollution.