Industrial Treated Yarn Entry Barriers and how to Overcome through new initiatives

Transcription

Industrial Treated Yarn Entry Barriers and how to Overcome through new initiatives
Holding Sites Products Inside look
Industrial Treated Yarn
Entry Barriers and how to Overcome
through new initiatives
Karthick Gnanasekharan,
Managing Director,
MEP-OLBO India Pvt Ltd.
MEP-OLBO
Page 1
MEHLER AG –
175 years of textile history
Holding Sites Products Inside look
1837
Valentin Mehler started a craft enterprise for table linen with 53
employees and he generated a turnover of 66 422 “Goldmark”.
Starting from this time the company moved progressively to a
specialist of technical textile.
MEP-OLBO
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MEHLER AG
Holding Sites Products Inside look
• Products for the building industry
and agriculture
• Personal security
• Textile reinforcement
• Dipped yarns and cords
• Tents, sun protection
MEHLER
AG
• Ladies‘ fashion
• Coated fabrics
• Technical fabrics
• Machine building and
engineering services
• Information technology
MEP-OLBO
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The world leading partner for your rubber goods
MEP-OLBO
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Locations MEP-OLBO – worldwide
Holding Sites Products Inside look
Fulda, D
Wujiang, CN
Hessisch Lichtenau, D
Headquarters
Kalefeld, D
Martinsville, USA
Famalicao, PT
Bangalore, IND
MEP-OLBO
Jilemnice, CZ
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Production possibilities and
operating figures
Holding Sites Products Inside look
Technical possibilities
Twisting possibilities :
from dtex 50 to dtex 100.000
from dtex 220 to dtex 50.000
up to 3 m width
Treatment possibilities :
Weaving possibilities :
Production capacities
Yarn capacities worldwide :
Fabric capacities worldwide :
approx 19.000 tons = 36.376.279 lb
approx 19.500 tons = 42.990.149 lb
Operating figures
Turnover 2009 worldwide :
120 million € = US $ 162 Mill
Turnover 2010 worldwide :
155 million € = US $ 209 Mill
Turnover 2011 worldwide :
158 million € = US $ 213 Mill
Forecast 2012 wordwide:
170 million € = US $ 230 Mill
Employees worldwide :
approx. 1.000
MEP-OLBO
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Entry Barriers 1
Market Overview
In India manufacturing of Industrial treated yarns (ITY) is still a maturing
concept.
•
Currently, in India manufacture of ITY is mainly for industrial application
and not fully explored into automotive
•
Manufacturing of ITY for the automotive application – high potential is
there.
•
The market today for ITY in India is still low and does not justify a large
scale production
MEP-OLBO
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Entry Barriers 2
•
•
•
Availability of land
• Within 50km radius of city limits
• High price even when compared to developed countries
• Payment of all money through bank – limited options
Government support
• Unclear rules, laws & legislations
• Single window system – limitations
• Time frames for approvals – uncertainty
• Red carpet welcome does not translate into reality
• Poor cooperation from officials
Infrastructure
• Power –
• unstable and huge shortages
• Limitations to get uninterrupted power - minimum demand
(KVA) restrictions for continuous process industries
• Higher capital cost and revenue costs
• Water
• Roads – accessibility and travel time
MEP-OLBO
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Entry Barriers 3
•
•
•
•
Human resources
• Well educated but poor skill levels – industry alignment missing
• Long term engagement?
• Values – commitment, work ethics, house keeping,
safety……missing
• Trade unions
Equipment & local vendors
• Non realistic time frames
• Not aware of high standards of developed nations
Raw materials
• Filament imports
• Chemical imports – largely
Finance
• Start up company – bank finance is almost impossible
• Mortgage not possible
• Repatriation is too expensive
MEP-OLBO
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New Initiatives 1
•
Market Overview
• With the global market in mind and in the reach of the group a
global capacity is being implemented – not limited to domestic
market
• The latest technology is under implementation – new
generation products
• Highest level of automation is under implementation to acieve
automotive volumes
• High importance towards HSE topics
• German engineering with Indian manufacturing
•
Availability of land
• Pan India survey was done to choose the right location
a. Technically
b. Politically
c. Financially – right vendor
d. Business wise
MEP-OLBO
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New Initiatives 2
•Government support
•Cushion for delays at various stages to be factored in
project time plan – with regards to government clearances,
local suppliers
•Engagement of consultants to obtain clearances from
statutory authorities
•Infrastructure
•Install captive generators with battery back up UPS – for
continuous process machinery
•Buy water at high cost from local suppliers
MEP-OLBO
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New Initiatives 3
•Human Resources
•Recruiting of talented people – takes time and comes with
candidate referrals
• Plan for training programs which will improve the skill levels
and other attributes of employees
•Engagement of blue collar employees through manpower
supply agencies on contract – assess and then may take
good employees on rolls
•Finance
• Look for funding options with banks of foreign origin
• ECB route for capital goods
MEP-OLBO
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India Office:
Head Quarters:
MEP-OLBO GmbH.
Edelzeller Strasse 44
36043 Fulda
Deutschland
MEP-OLBO India Private Limited
Plot Nos S10-S15,
Intergrated Textile Park,
KIADB Industrial Area,
Doddabalapur,
Bangalore 561 203, India.
Tel.: +49 661 103- 0
Fax: +49 661 103- 666
E-Mail: [email protected]
http://www.mep-olbo.de
Tel. : +91 80 2763 0068
Fax : +91 80 2763 0008
E-Mail: [email protected]
http://www.mep-olbo.de
MEP-OLBO
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Come to us and realize your
product solutions with us
Your world leading partner for the
Rubber Industry
Thankyou for your attention
MEP-OLBO
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