Gimatex replied to a TVC Questionnaire. Excerpts: Mohota Group has a glorious history of over 125 years in the textile industry. Tell us about some of the important highlights, achievements, milestones during this journey. The Graph below tells you the story so far…..
[From Left to Right: Vineet Kumar Mohota – Director (Finance), Basant Kumar Mohota – Chairman, Prashant Kumar Mohota – MD, Anurag Kumar Mohota – Director (Works)]
According to you, how has the industry improved over the last few decades?
Over the years we see that industry has significantly improved in terms of efficiency in its processes innovations for the products and delivering a cause effective and sustainable product solution for deserving customers. Huge improvement has taken place in terms of finishes in various fabrics so that it can sustain and last for longer use and as per the product application. Technology has improved significantly where we see machines talking to the computers and all kinds of data availability for making quick and improved decision making.
How did you celebrate 125 years of Mohota Group and 25 years of Gimatex? What is the future course for the company?
On 25th of March, 2022, Gimatex celebrated its 25th anniversary and 125 years of textile history of the Mohota group. On this momentous occasion, Gimatex inaugurated its new manufacturing facilities, namely the 10 TPD Open End Unit at Wani and the 25 TPD Spinning Unit at Hinganghat Integrated Textile Park. Furthermore, Gimatex also launched its Premium e-commerce Apparel brand ‘Minus One’ in the same event.
Various dgnitaries from across India and abroad graced the occasion. Mr. Sanjay Jayavarthanavelu, Chairman of Lakshmi Machine Works was the Chief Guest and Mr. Ajay Arora, MD of D’Decor, was the guests of Honour. Other prominent personalities included Kishanji Poddar (Siyarams), Mr. Hisahiro Koketsu (MD, Toyota), Pankaj Sarda (Jt. MD, Sarda Energy & Minerals), Manish Kumar, Mr. Anil Jain, Mr. Aditya Jain and Mr. Masayuki Yamamoto among many others.
It is pertinent to note that, Gimatex’s first manufacturing facility in Wani started operations in 1997 and has entered a period of constant expansions and rapid growth. The new Open End Unit at Wani adds yarn manufacturing capability to manufacture recycled fibre based fabrics. At Hinganghat Integrated Textile Park, the new spinning facility adds further 32,000 spindles to their existing capacity of 1,68,000 spindles. Combined, these new units also contribute to tremendous employment in the local region to the tune of additional 500 people. The dedication, integrity and passion with which all the family members have served the company has led to the 6th generation of the Mohota family to continue in the same business.
Gimatex has always focused on value addition in the cotton sector. By launching Minus One Gimatex has completed an integration from Cotton Fibres to Fashion segment and added tremendous value to the cotton lifecycle. Moreover, by using only Vidharbha cotton in their products, Gimatex is supporting the local farmers and alleviating the difficulties faced by them in recent times. Previously, Gimatex had installed a scientific cotton seed processing unit to add value to the Cotton chain, and with Minus One they have extended this philosophy further.
On this important occasion, Gimatex has made a commitment of contributing Rs. 25 per pc sale of Minus One Apparel & Rs. 100 per Quintal sale on GIMA WHITEGOLD Cotton Seed Refined Oil. This contribution will be used for welfare of the cotton farming community.
Additionally, to mark the celebrations of the milestone year, Gimatex has taken over the maintenance and upkeep of the main squares, fountains and decorative lightings of Hinganghat Town, from Subhash Chowk to Tukdoji Chow. They also felicitated 18 staff members who have served them for more than 35 years in a short programme at their Club House.
Gimatex has always received great support from the local community. Through their development activities, they have always focused on the growth of the local areas and will continue to do so in future. As they mark their special occasion in 2022, Gimatex wishes that we continue to stand with them on their onward journey. Sabka Saath, sabka vikaas!
Cotton and cotton yarn prices and market have been in a flux for many months now. How has it been for Gimatex? How have you managed to keep margins and supplies intact in this situation? Your advice to the industry?
Yes, the prices have skyrocketed in the last one and half year particularly more so after the Corona Pandemic, it has been very complicated for spinners if we consider today’s cotton price we do not find any margin in terms of Yarn spinning for the reason that costs have significantly gone up in terms of labour, power as well as cost of all other inputs. Yes, we have been able to keep our margins only because of the right timing of fibre purchase and ensuring that quality cotton is acquired through our ginning operations.
A much-used statement – Weaving and processing are the weak links in the Indian textile industry. Your views, given that you are an integrated textile manufacturer.
Yes, definitely the downstream processes like weaving / knitting and their processing as well as apparels remain to be the weak links in the Indian textile industry. If we see besides us ie Bangladesh, we see that they have really developed themselves in terms of garment manufacturing which is ensuring a pull for the backward processes starting from spinning and therefore the country is self-sufficient in itself in catering or expanding in textile operations in time to come. In India now with the aid of PLI and many other incentives scheme like RODTEP, ROSTCL, we see some shift happening towards large scale manufacturer coming in the field of garmenting where we need corporate entities to make an efficient garment operation.
Any expansion, diversification plans?
Recent investment – Bela Unit for spinning 32000 Spindles for Viscose & Cotton Compact yarns, Wani Unit – Open end Unit for making PC & Cotton Coarse count yarns (7 to 20ne), Processing Unit Ahmedabad, Dholka – Soft Flow machines for processing of Viscose based fabrics. Upgradation of ETP to ZLD (Zero Liquid Discharge) setup, along with MEE & Sludge dryer.
Upcoming expansion – New 32,000 Spindles & new airjet looms 120 and weaving preparatory
How do you expect the Russia-Ukraine conflict to impact the Indian and international textile industry? How are you preparing to safeguard your interests? Advice to the industry?
I am yet to exactly understand how this will impact but given the current scenario it seems that this war is going to last pretty long and it will definitely affect the consumer interest in European countries; therefore I believe India’s exports to Europe will definitely get affected in short term as well as long term.
Yeah, my advice to the industry in the current scenario would only be to ensure that the customer base expands from European Nations to other alternatives like South American and far Eastern countries as well so that we are able to hedge our rest in case Europe or some Western countries try to sanction India for taking a neutral stand on Russian Ukraine conflict. You should also try and ensure that whatever market is being created because of China plus one policy is also garnered by Indian operations or Indian products.
