A decade of successful leadership
The recent changes in the Indian economic structure, brought about by the demonetization and GST, have a bit slowed down the business. However, the expanding global market has given a boost to the long overdue growth in the processing and finishing sectors. To keep up with the dynamic market, players are taking measures to expand their production capacities and to modernize the technology employed.
In the last one decade, the processing industry has experienced sizable investments and has developed growth prospects for textile industry players. Not only the existing companies, but the new entrepreneurs are viewing this growth as a profitable venture. Industry players are looking for value addition. The A segment players want to expand their units and the B segment players want to modernize their machinery to match the standards of the A segment.
Most of the unorganised sector players contribute a huge percentage in the exported goods due to the commission-based jobs they do for the big brands. To keep up with the latest trends and sustain timely and cost-effective production cycle, these companies are turning to modernizing their equipment. With the help of the Government schemes, sectors like processing and finishing which did not have a lot of focus on them previously are being encouraged.
Growth in this industry is not just a profit venture for a lot of players, but it is also the need of the hour for the overall growth of the Indian textile industry. Sectors like spinning, which have enjoyed a major chunk of investments and upgradation, need other sectors to flourish, for an overall growth. The processing sector has shown great potential as a part of the growing industry, and the Government is supporting it too through subsidies and various other schemes.
As it has been noticed, many big corporate players have recently made investments in the processing sector. These players already have the best machinery available, and hence wish to expand their capacities. Many small players are making investments as well, to upgrade their equipment for better results. One of the segments that has really got the spotlight is home textiles, which is a strong segment for the Indian industry. The apparel segment too is witnessing investments to keep up with the growing demand. It has development potential in terms of quality improvement and in terms of capacities.
The knit segment, which was dominated by south Indian players, is also experiencing growth and investment in north India. Many players are planning investments in this sector which is bound to flourish in a few years.
India needs growth in the processing industry as there is demand for good fabric. Mr. S. Rajendran, who is the Senior Vice President – Processing Machinery, Processing Accessories & Customer Support Group at A.T.E. Enterprises, in his exclusive interview, expressed his view of the processing industry in India. He said: “There has already been growth and investment in the spinning and weaving sectors, and plenty of yarn, especially cotton, is available in India. To increase the demand of the Indian fabric, the processing industry will play a big role”.
He also shared his views about spreading awareness among the end-users about sustainability and environment safety by stating that consumers are much aware themselves. As an advantage of operating in the present scenario, the end user is well aware of the environmental cost of his actions. Customers have started preparing themselves, they are not only obliged but are willing to contribute to the society.
Effluent water treatment
A.T.E. has come up with a new technology for biological treatment of effluent water, which has been quite successful and praised. The company has completed 14 projects with this technology in the textile segment. This new technology, developed with the help of a tie-up with Huber, Germany, proves efficient in decreasing sludge formation. The company has also developed effective waste management solutions to become more environment-friendly.
For A.T.E. and Mr. Rajendran, the previous year has shown significant growth in textile processing business. Along with achieving the set targets, the business was able to attract new contracts for the future. A.T.E. now offers the entire range of processing solutions for its clients, in home textile, denim and various other fabrics. The company has rich experience of handling projects, including ETP. The brand A.T.E. now stands for complete trust and quality. The company has worked with many big clients for complete package-based installations and supplies, from de-sizing machine, bleaching machines, colour services, to rotary printing solutions.
Mr. Rajendran’s division is doing very well. He mentioned: “We have a very good order book and the carryover for processing is 40%.” The company has also added Godrej to its list of principals, for storage and automation management systems.
Although it is a difficult task to have so many principals and yet progress with such an ease, Mr. Rajendran makes this task seem accomplishable. His understanding of the principals and knowledge of the market makes this possible. Another factor that builds their trust is how efficiently A.T.E. operates. The company has a decade of knowledge and efficient data systems. Reports can be accessed and strategies prepared with much ease through these data systems.
Secondly, the company has devised a smart strategy to help in targeting the diverse needs of customers by strengthening its regional offices. Each regional office has exclusive resources for processing. They have expert professionals working for sales and services. This makes it convenient for the end-users as all the regional offices handle all 25 principals. Currently, the processing division, because of its effective strategies, stands second to the company’s spinning division.
The company’s processing division has come a long way in its journey. Today it has become a complete solutions provider and has all the modern technology and capital machinery needed to serve its clients in the best manner possible. Mr. Rajendran now has his focus on adding new agencies to his division and has directed his focus on some selected, crucial areas.
As the warp knitting industry is growing, the prediction favors this growth. A.T.E.’s future plan includes venturing into this terrain. Another area of focus for the company is digital printing, which is well established in the Indian market with new projects being set up every day. Working with a Chinese tie-up, the company plans to capture the B segment market.
Along with new machinery, A.T.E. is also studying new technology. Plasma, for instance, is the focus of the hour for it. It is studying the global market and is trying to bring superior technology into India, with the help of European experts.
As a man who believes in accomplishing the targets he has set, Mr. Rajendran foresees the processing division of A.T.E. reaching a turnover of Rs. 500 crores in the next five years. And, with the new tie-up with Godrej and focus on dyes and chemical differencing, and the progress made by him in the automation and upgradation of the division, this target is certain to be achieved.