Ichalkaranji Report

Rate this item
(0 votes)

 

 

Ichalkaranji Report

Textile Friends visited Ichalkaranji on 16th October, 2015, 2nd Field visit to understand the market dynamics. Group have following members : Mr. Suresh Kotak from Kotak Commodities ; Mr. M.L. Jhunjunwala from RSWM; Mr. Sharad Tandon from Stadon consulting ; Mr. Shiv Kanodia from Bharat Merchant Chamber; Mr. Manish Daga from COTTON GURU ; Ms. Jigna Shah from Textile Value Chain Media.

 

Objective of the group to understand the problems of the industry, hear their voice, give report to Textile Commissioner & as industry well wisher help them to grow in industry. We met few industry stalwarts for understanding the realities.

 

First company met was M/S. Su-Parshwa Group, with MD Mr.  His inputs are for the cluster :    

·         No demand in market.

·         Power subsidy at Rs. 3-4/kg.

·         Power cost Rs. 3.50-4/unit

·         Gujarat Rs. 7-8/unit

·         Ex minister Prakash Awade very helpful to weaving industry in Ichalkaranji.

·         TUF subsidy stopped was very helpful when upto 30 %

·         24 mts 1997, 24 2014 picanol m/cs (AirJet, 16 Rapier)

·         Sell grey fabric to Ahmedabad, Delhi, Kolkata.

·         Both sale purchase and job work

·         80 % job work. Max 40x40 60x60

·         Production : Avg 50 x 50 pick, 7 lakh meters/ month

·         Export: negligible

 

Ø  What is Required:

·         process house required in ichalkaranji

·         Currently 68 process houses, most of them are outdated.

·         To start with, need process house of 1 L mts/day

Ø  Shuttless:

·         5-7000 airjet, rapier

·         Plain: 1.25 L

·         1000 Airjet in pipeline

Ø  Local weavers do not know what happens to their grey fabric.

Ø  Awareness seminar for export through promotion council

Ø  Quality standards for export competiveness

2. Baldev Textile Mills (P) Ltd/ Ankitji Sonthalia

Ø  Brand NR dhoti Finance/Production Ram Purohit

Ø  Local manufacturer not aware about market trends, depending on agents and for daily inquiries.

Ø  Need a process house.

Ø  Good process houses are making profits.

Ø  Main reason for Ahmadabad is processing facility

 

·         Processing charges in Ichalkaranji for piece dyeing (fabric): Rs. 70 + % (ETP Charges)

·         For Ahmadabad = Rs. 60/kg

 

Ø  Conclusion: quality and consistency advantage in Ahmadabad.

Ø  Power: Rs. 2.83/unit

Ø  Export: Timely delivery is challenge. Cycle is 90 days.

Ø  Job realization: 13 to 14 paisa/pick, cost 12 to 13 paisa/PICKS

 

Ø  Ram Purohit: No awareness about SIDBI scheme in make in India of finance to SSI’s @ 8.5 to 9 %. Need to verify.

 

Ø  Solution:

1.       Reduction in cost of finance and hence production.

2.       Market capitalization and diversification by innovation.

Ambrish Sarda Group:

Ø  TUFS: From 1st October subsidy reduced from 30% to 15 %

Ø  Maharashtra Govt: State subsidy of 25% is closed from 2011

Ø  Need: product development and market development.

DKTE:

1. Jhunjhunwalaji: Change yourself as per customers’ requirement/demand. Markets have bottomed out cotton & PET have bottomed out due to MSP and petroleum prices.

Weaver: How do we compete against mills who are themselves weavers?

If yarn prices fall, cloth is bound to fall. Solution? 80 % of people doing job work. Product change is challenge

2. Shiv Kanodia: Understand your USP. We are masters of small quantity as an exclusive / premium product. Have surpassed turnover of last 6 years in this year?

Standardize job work on basis of quality & cost.

3. Sureshbhai: Bayer crop science. Taking premium of 20 cents in fibre maximum.

4. Jigna: cluster branding. DKTE can play a very important role.

5. Ichalkaranji; Annual turnover 8000 Cr.

 

 

 

 

 

Read 795 times
No result...