Indokem Ltd., a company deeply rooted in India’s textile heritage, stands as one of the few Indian enterprises producing textile dyes and chemicals listed on the Indian stock exchange. Under the visionary leadership of Mr. Manish Khatau, Executive Director, Indokem is on a mission to transform itself into a fully integrated player in the textile dyes and chemicals segment. With a legacy dating back to 1946, the company is now focused on sustainability, aiming to reduce the environmental impact traditionally associated with the textile industry.
“We want to eliminate the stigma of the textile industry being a polluting and water-consuming sector by making our products eco-friendly for our customers, the end consumers, and the planet.” – Mr. Manish Khatau
A Legacy of Excellence:
The Khatau family has been a significant name in the textile industry since 1874, beginning with cotton trading and later establishing the renowned Khatau Mills, famous for its Voile sarees. Indokem Ltd. was founded in 1946 as a backward integration initiative to produce textile dyes and chemicals. In 1983, an amicable family split resulted in Mr. Manish Khatau’s family taking over Indokem, which marked the beginning of a new era for the company.
Journey from Trading to Manufacturing:
“During our trading days, Indokem had collaborations with several established global companies. Eventually, we ventured into producing sizing chemicals, textile VAT dyes, and chemicals,” Mr. Khatau shared. The company initially saw decent profit margins from its sizing chemicals business, but as competition increased, margins reduced. This led Indokem to explore export markets, where they have found new growth opportunities.
Indokem operates four production plants near Mumbai, manufacturing a wide range of products, including textile auxiliaries, textile VAT dyes, and pigments. Their sizing chemicals portfolio includes blends, binders, softeners, lubricants, antistatic liquids, and cold sizing. The company also provides technical expertise in dyeing and printing, as evidenced by their collaboration with Arvind Mills in 2015 to produce camouflage fabrics for the Indian army—a highly technical and challenging task.
Commitment to Innovation and Sustainability:
Indokem has invested heavily in research and development, with a fully integrated quality control laboratory and R&D unit at one of its plants. The company continuously innovates in sizing and textile auxiliaries, focusing on making products more environmentally friendly. Recently, they introduced a groundbreaking sizing innovation for polyester and acrylic blends called ‘Accurosize,’ which has replaced PVA, a binder with a negative environmental impact.
“Our R&D efforts aim to make sizing chemicals more sustainable while reducing energy and water usage for our customers. A few years ago, PVA-based binders dominated 80% of the market, but that figure has now dropped below 50%,” Mr. Khatau noted.
Indokem’s commitment to sustainability is further evidenced by their GOTS 7 and ZDHC Level 3 certifications. The company also plans to obtain Oeko-Tex certification, responding to growing customer demand. Additionally, Indokem employs a zero-liquid discharge process for producing all sizing chemicals and auxiliaries, and their textile dyes undergo further processing at a CEPT.
Expanding Global Footprint:
Indokem’s export business has grown significantly, now contributing 45% of its revenue. The company has established an office in Bangladesh and is exploring new markets in East Africa, Southeast Asia, and South America. With a strong presence in Italy and other regions, Indokem is well-positioned for further international growth.
Vision for the Future:
Looking ahead, Indokem aims to be recognized as an integrated supplier of textile dyes and chemicals. The company also plans to become a toll manufacturer, utilizing its spare capacities and expanding its product range. “We want to eliminate the stigma of the textile industry being a polluting and water-consuming sector by making our products eco-friendly,” Mr. Khatau emphasized.
Indokem’sfuture plans include consolidating all its chemical businesses into a single location and setting up a new VAT dye production unit in Gujarat. This will enable them to offer a broader range of color shades and achieve backward integration into starch manufacturing. The company is also seeking nominations from global fashion brands, which will further solidify its position in the global market.
Under the leadership of Mr. Manish Khatau, Indokem Ltd. is not only preserving its rich legacy but also embracing innovation and sustainability. With its eyes set on becoming a fully integrated player in the textile dyes and chemicals industry, Indokem is leading the way towards a greener and more responsible future for textiles.
