SHAH ALAM: Unitrade Industries Bhd, a homegrown building materials wholesaler and distributor, announced that Winnson Ecotech Sdn Bhd, an indirect 60%-owned subsidiary of the group, has entered into a technology transfer and licensed manufacturing agreement with Finland-based Molok Oy, a waste collection solutions specialist and part of SULO Group, the European leader in pre-collection waste management solutions serving municipalities, collection operators and businesses.
Under the license agreement, Molok shall transfer its manufacturing technology and know-how to Winnson Ecotech to manufacture a specified Molok Classic semi-underground waste collection container locally, being a value-engineered 5m³, 2-hook hard container with lid.
Molok has granted Winnson Ecotech an exclusive, non-transferable, and non-sublicensable license in respect of Johor state.
This shall automatically extend to the whole of Malaysia upon Winnson Ecotech achieving the prescribed cumulative sales milestone within Johor during the first contract year and thereafter to Indonesia upon Winnson Ecotech achieving the prescribed sales milestone within Malaysia during the second contract year.
Winnson Ecotech also signed a distribution agreement with Blue Marble Sdn Bhd, appointing Blue Marble as its exclusive distributor of the licensed product throughout Malaysia, including for the Johor State Smart Deep Collection System programme.
The strategic alliance is expected to support participation in modern waste management infrastructure projects, starting with opportunities arising from the Johor Smart Deep Collection System, a programme led by the state government to replace conventional waste collection infrastructure across Johor with semi-underground container systems.
The license agreement took effect upon execution and shall continue for an initial term of three years from the production commencement date, which is expected to be no later than March 31, 2027.
It will automatically renew for two further successive one-year periods if Winnson Ecotech achieves the cumulative minimum volume.
Molok is the original developer of the Deep Collection System, a semi-underground waste collection solution designed to provide a more space-efficient, hygienic and environmentally friendly alternative to conventional waste collection infrastructure.
With more than 30 years of experience, Molok has installed approximately 200,000 containers across more than 45 countries worldwide, drawing on the scale and manufacturing expertise of the wider SULO Group.
Unitrade group managing director Nomis Sim Siang Leng said the agreement represents an important step in expanding the group’s role into licensed manufacturing of semi-underground waste management containers.
“Through this partnership with Molok, we are able to bring proven European waste collection technology to the Malaysian market while building local production capabilities that support more cost-efficient deployment, shorter lead times and stronger after-sales service.
“The technology transfer component is what makes this partnership particularly meaningful. It allows us to develop new technical competencies within the Group by leveraging Molok’s 30 years of expertise in semi-underground waste collection systems, thus creating a local manufacturing platform that we believe is well-positioned to serve the growing demand for modern waste management infrastructure in Malaysia,” he said.
Sim said the Johor Smart Deep Collection System initiative provides an excellent starting point that can eventually scale across Malaysia and Indonesia as adoption of modern and sustainable waste collection systems continues to rise, underpinned by greater environmental awareness.
“This partnership also aligns with our strategy to build earnings visibility in higher value-added businesses that are complementary to our existing verticals,” he said.
Molok managing director Teemu Kovero said the license agreement is a significant step for Molok and SULO Group, as it brings the Deep Collection System to Malaysia.
“Winnson Ecotech’s manufacturing capability, combined with the technology and know-how we have built over more than 30 years across more than 45 countries, gives this partnership a strong foundation to deliver proven European waste collection solutions locally, efficiently and to the standards our customers expect worldwide.
“Malaysia and Indonesia represent important growth markets for modern waste management infrastructure, and initiatives such as the Johor State Smart Deep Collection System show how quickly demand is developing.
“We are confident that Winnson Ecotech’s local production capability, backed by the engineering expertise of Molok and SULO Group, will help set a new standard for semi-underground waste collection in the region,” Kovero said.