[Photo: Rigid inflatable boats produced by marine services provider Gemini Marine.]

By Vincent Wee

MARINE services provider Gemini Marine has had to change tack quickly several times to adapt to shifting business conditions.

Established in 1997, Gemini started out by building mainly rigid inflatable boats (RIBs) and supplying products for military projects, including to the Navy's Special Forces. This was of course helped by managing director Fang Yeow Huey's background as a former Navy man.

The company then moved into commercial projects and supplied semi-rigid rescue craft for anchor handling towing and supply (AHTS) vessel projects among local yards. Then, as recently as three years ago, Mr Fang decided to focus on the leisure market, concentrating on performance products.

The business is now divided into three parts. The inflatable boat section handles inspection, repair and re-tubing of RIBs and inflatables, manufacture of inflatable tubes and fenders and supplies repair kits, accessories and fittings.

The marine engine section deals with a variety of engine-related products and services. Gemini is the authorised service dealer for Volvo Penta engines and generators, as well as repairs and services diesel engines of other makes such as Yanmar, Cummins, Westerbeke.

Finally, the newly established yachting section provides routine maintenance and servicing for pleasure yachts (including mechanical, electrical and hydraulic work) survey, inspection and yacht commissioning, sale of marine equipment and accessories and is as well a dealer for Taiwanese yacht maker Tayana.

Turnover of just under $2 million currently comes mainly from the marine engine arm (50 per cent) with the remainder almost equally split between inflatable boats (30 per cent) and yachting services (20 per cent).

Gemini has had to make several course adjustments to its business over the years as business conditions changed. The high cost of factory space, cost of transportation and lack of facilities to test boats in Singapore led the company to recently stop hull production for RIBs and focus only on making the tubes for them.

'As a tube maker, we could be supplier to the world. Distance and transportation are not so much of a problem as compared with the RIB business, as such, we see this as our new engine of growth,' said Mr Fang.

'We have dominated the market in Singapore in the re-tubing business as there is no competitor locally. We have gained some progress in Malaysia but more needs to be done to promote our capability elsewhere.

'On the other hand, the engine and yacht business is restricted to the local market and health of leisure boating in Singapore. However, we do think that with the IR and waterfront housing projects, things will be completely different.

'There is potential to double the fleet of pleasure yachts in Singapore and we want to be an established player in the market when that happens.'

In a way, the development of the various parts of the business was driven by the types of business that Mr Fang has been involved in at different phases. 'We used to do outboard motors because we had to provide maintenance for the RIBs we built for the Navy. We made a switch to diesel engines because it is more sustainable and the work we do is all on board the vessels so we don't need much space at our premises.'

Mr Fang sees the yacht business as holding potential for the future. It also bodes well for his company and its 10 employees. 'In general, the yacht business is cleaner than the shipyard business; our people are happier leading to better retention and recruitment,' he said.

While it is beginning to show improvement, challenges remain. 'Recruitment is the biggest challenge as there isn't a pool to draw skilled personnel from,' he said. 'We would like to develope ourselves into a one-stop shop for all leisure boating needs. However, land for a yard would be a challenge.'

Gemini's relatively recent entry into the business is also a barrier. 'In the tube business, we are competing with companies, mainly British, that have been around for 10 to 15 years. In the pleasure yacht market, we have only been in the market for three years. So we are really an infant in all respects,' said Mr Fang.

'We are taking a cautious approach. We would rather decline work and admit that we are not confident in doing a good job than to mess things up.'

This article was first published in The Business Times.