Osotspa and Yunnan Baiyao bring premium toothpaste to Thailand

Osotspa Plc (OSP), a leading Thai consumer goods company with a history spanning more than 135 years, has announced a strategic partnership with YNBY International Limited, representing China’s leading healthcare and oral-care brand Yunnan Baiyao, to introduce its first three toothpaste formulations in Thailand.

The partnership brings together the strengths of two businesses with more than a century of heritage. Osotspa will manage marketing and distribution across retail and e-commerce channels in Thailand, while its subsidiary, Greensville Co Ltd, has been selected as a manufacturing base for international exports. Together, the partners aim to establish a presence in Thailand’s premium toothpaste market.

Osotspa highlights international manufacturing capabilities

Suthipa Panyamahasup, chief home and personal care and health care officer at Osotspa, said the partnership demonstrated the company’s capabilities beyond distribution, extending into manufacturing for export.

Yunnan Baiyao selected Greensville after assessing more than 10 factories in Thailand, Malaysia and Singapore. Suthipa highlighted its manufacturing standards, which she described as comparable to those of pharmaceutical facilities, alongside its warehousing systems and operational efficiency.

Greensville has already produced more than 600,000 tubes of Yunnan Baiyao toothpaste for export to six markets: Vietnam, Singapore, Malaysia, Hong Kong, the United States and Canada.

Suthipa explained that the partnership began when Yunnan Baiyao was looking for a manufacturer in Southeast Asia to ease pressure on its production capacity in China and supply international markets. The relationship initially focused on contract manufacturing before expanding into marketing and distribution in Thailand as the two companies built confidence through working together.

“This marks Osotspa’s first partnership with a Chinese company, bringing together two businesses with more than 100 years of history. Osotspa has been operating for 135 years, while Yunnan Baiyao’s history spans more than 122 years. Osotspa executives subsequently visited the company’s headquarters in Kunming to build confidence and lay the foundations for business cooperation,” Suthipa said.

Three formulations for different oral-care needs

Yunnan Baiyao toothpaste is positioned under the concept “Herbal Plus Science”, combining pharmaceutical science with traditional Chinese herbal knowledge.

A key ingredient is sanqi, an extract from the root of Panax notoginseng, a prized herb associated with Yunnan province. The brand highlights the ingredient’s role in gum care, describing it as helping to reduce bleeding gums and soothe mouth ulcers.

The Thai launch comprises three formulations, with the following ingredients and benefits:

• Gum Care: Combines sanqi root extract, dual-fluoride technology and zinc citrate to help maintain healthy gums and prevent tooth decay as part of everyday oral care, while providing freshness and gentle care.
• Enamel Repair: Combines sanqi root extract, dual-fluoride technology and potassium nitrate to help restore enamel affected by acid erosion and relieve tooth sensitivity.
• Shining White: Combines micro-silica, dual-fluoride technology and vitamin B6 to help remove surface stains for visibly whiter teeth while helping to protect enamel.

Equal focus on modern retail and e-commerce

Osotspa is positioning Yunnan Baiyao in the premium toothpaste segment, priced at THB215 for a 105-gram tube. The target audience is consumers aged 28–45 with middle to upper-middle incomes.

The marketing approach presents Chinese herbal expertise through innovation and quality, aiming to shift perceptions of herbal toothpaste from a product primarily associated with older people to one that appeals to younger consumers. It also draws on growing recognition of Chinese brands for their quality and value.

To encourage trial, Osotspa plans to distribute more than 100,000 sample tubes nationwide, supported by online communications and influencers explaining the role of sanqi as a key ingredient.

The distribution strategy envisages a 50:50 split between modern retail and e-commerce. Sales through Osotspa’s e-commerce channels began on September 20, with the range also available through Lotus’s, Big C, Tops and Watsons.

Bringing Chinese herbal expertise to international markets

Ming Tang, chief executive of YNBY International Limited, said Yunnan Baiyao had developed from its beginnings in 1902 into a global healthcare business through three stages: traditional herbal remedies, the application of pharmaceutical manufacturing technology to personal-care products, and its current focus on innovation and digital technology.

Drawing on its pharmaceutical heritage, the company combines traditional Chinese medicine with science, research and clinical studies to develop oral-care, skincare and haircare products.

Ming Tang said the business operated six research and development centres in China and overseas, supporting quality control throughout the production process. This extends from selecting plant varieties and seeds to cultivation, extraction and finished products. He said this approach had helped Yunnan Baiyao maintain its position as China’s leading toothpaste brand for several consecutive years.

Thailand is the first market outside mainland China and Hong Kong in which Yunnan Baiyao has chosen to invest in launching its premium toothpaste range, he said.

Ming Tang put the value of Thailand’s overall toothpaste market at approximately THB18.5 billion, growing at an average of around 6% annually. The premium segment was worth approximately THB4 billion, with annual growth of about 10%.

He said the premium segment’s faster growth reflected Thai consumers’ increasing attention to oral health as part of their overall wellbeing, together with a willingness to pay for products offering targeted benefits.

“Thailand is an important market for Yunnan Baiyao, with considerable room for growth, particularly in premium toothpaste. Our partnership with Osotspa will strengthen both our manufacturing capabilities to serve international markets and our ability to reach Thai consumers. If the products succeed in Thailand, there will be opportunities to build on that success in other Southeast Asian markets,” Ming Tang said.

The partnership extends beyond introducing premium toothpaste in Thailand to establish a longer-term business platform. Osotspa will use its distribution network and e-commerce capabilities to reach more consumers, while Yunnan Baiyao plans to draw on innovations from a portfolio of more than 100 products to develop offerings suited to the Thai market.

The partners also intend to explore further regional cooperation, combining manufacturing expertise, product innovation and market access to support their next stage of growth.