Stäubli is upbeat about the Indian textile investment scenario, now that all state subsidies are in place. With its complete package of technology and service, the company believes it will be the service provider of choice, in the Indian weaving sector. In an interview with Textile Excellence, Fritz Legler, Head - Marketing, Sales, Service, Stäubli Sargans Ag, gauges the potential of the Indian market.
Post-TUFS clearance in India, how has the Indian market been for Stäubli?
India has always been and will always be an important market for Stäubli - no matter the local incentive schemes. We all have to remember that the final clearance of TUF took a long time last year and the running incentive scheme did not really make a big difference anymore upon completion in 2013. It will hopefully be more supportive in 2014.
Stäubli has a long history of association with the Indian market. What makes Stäubli successful in India and what are the challenges, opportunities and growth prospects for your products in India?
It is hard work and continuity coupled with outstanding products, their quality and the overall service package offered by Stäubli to customers in India. It is proximity to weavers in India through strong local Stäubli teams in sales and service. There are many opportunities and growth perspectives in India. The overall population of shuttleless weaving machines is still rather low compared to the massive power- or hand-loom density in India. The country has set very high targets to increase exports of textile products which should give enough impetus to investment propositions in future. Furthermore, local affluence will improve over the years and further boost domestic demand and spending. The flipside to this is the rather slow political process to quickly implement necessary structural changes. India`s mills grind slowly which will hamper sudden growth.
How does Stäubli look at low priced Chinese products in the same segment? Do they offer any threat to high end Stäubli products?
With all due respect, we do not really think that we compete in the same segments as suggested in your question. The differences are still rather large - not only on the side of what manufacturers like Stäubli offer technologically but also as far as the needs of the end-users of both different offerings are concerned. As soon as some of the cloth manufacturers want to move upmarket and be among the quality or brand leaders targeting e.g. exports or higher domestic segments, investment decisions will have to focus more on genuine and innovative technology. Stäubli obviously looks respectfully at all competitors! Fair competition through its own innovation is good for all of us - it keeps us going and innovating.
How do you expect the Indian market to shape up in 2014?
Let`s keep our fingers crossed that investment decisions are fully embraced and taken without looking at looming elections, fluctuating currencies or simply considering short-termism. India has to move on and invest if it wants to keep up with some of its strongest competitors. TUF and many other state-side subsidies are available - there are not any excuses anymore for holding back.
How do you perceive ITMACH as a gateway to India's largest weaving cluster?
It was important for us to participate in this first ITMACH last month. It clearly showed the "technical divide" between latest innovations in textile machinery offered by some of the exhibitors and current technology applied by most of cloth manufacturers in this weaving cluster. We have already hinted at differences in technology in one of the above questions - this also became very apparent at the recent ITMACH. The best of the best in this weaving cluster have noticed the differences and will want to stand out of the mass thus aiming for high-end technology. Stäubli has had interesting discussions to this end.
How are other markets performing for Stäubli - China, Bangladesh, Turkey?
All three markets have had ongoing investment on respective levels according to their strength and size last year. There was above-average spending in some of the textile markets last year which started tailing off toward the end of last year. As such, Stäubli has seen a good start into this year with a reasonable backlog. This year is still young. China is not back from its celebrations of the Spring Festival yet. It is to be expected that 2014 will be on a lower level than 2013.
What is the scenario of woven technical textile industry in India? In what areas can Stäubli support Indian entrepreneurs?
Growth projections for India in this area are considerable (i.e. above the global yearly average) - India is gearing up for this expansion and will be ready to fully exploit the potential. Main areas of opportunities are probably to be found under the headings of Geotech, Agrotech, Indutech, Packtech followed by Mobiltech, Sporttech, Oekotech and eventually Medtech. Stäubli can help investors select the right technology and upon completion of investment decisions make sure that technology is properly introduced and used to its best. Our local service team is decisive to support the introduction of new weaving technology in India.
How are preparations on for showcasing innovations at ITMA 2015?
Wait and see in November 2015 in Milano.
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