Interview with Mr Yousuff Ahmed

Oman Textile Mills is the only vertically integrated manufacturer in the Sultanate of Oman. It has modern weaving machines and state of the art printers . There is no other similar facility in the Gulf region ! There are several garmenting units , not doing well after withdrawal of quantitative restraints by the World Trade Organisation in 2005. India, Pakistan, Indonesia , Bangladesh etc traditionally lead the traffic in this sector !

The recent agreement between USA and the Sultanate of Oman has indeed brought cheer to this sector, a revival of hopes. This is a fine opportunity at our doorstep. We are seriously examining the various options, leasing lines, up-scaling capacities, joint ventures, strategic alliances, so on so forth.

Yes technical textiles, medical textiles, geo textiles, non wovens, special clothing, the list is endless - vast potential & compatible with our core competency . Let me be candid - we are working on various business modules . This is an on going exercise . I am unable to disclose any firm plans at present .

International marketing essential - yes please, but not at the cost of domestic consumption. The Gulf states import about US $ 10 Billion worth of apparel and clothing annually, registering a healthy year on year growth. Yet there is no sight of a single successful textile manufacturing facility, despite the ready availability of raw material. The reasons are not far to seek and this is not the ideal platform to get into the nitty gritty - except to emphasize ‘Never neglect your home markets’ Success abroad is dependent on success at home - a basic fact, I have learnt the hard way. Look at ’Raymonds’ and you will realize what I mean.

My recipe - Do not cut machinery utilization - the moment you reduce production, you get into financial trouble automatically. Improve efficiency in managing cash flows. Keep your staff & workforce motivated. Exodus can be disastrous. Focus on ‘Cash Cows’ in your product portfolio. Flog the markets. I have always believed a problem of receivables is better than a stock pile.

The Omanis are clever, committed and unquestionable integrity. My Quality Officer is an Omani woman. My progress chaser is an Omani - probably the best shop floor Supervisor I have. Having said this, let me add, we aren't doing enough in terms of training and development, exploiting local talent, potential, rewards, career progression, so on so forth. My observation, the moment any Business Head reaches the level of Omanisation stipulated by the Government, we get out and import. There are always enough people available across functions, across levels, across countries, across industries to fill in the gaps. We must avoid such soft options.

Yes please - getting our products certified from SGS Leicester the premiere global Quality Lab , with the existing men & existing machines and equipment - is tough and a significant profitable step forward - something to write home about - not every one's cup of tea. This will add value to our product mix , help us move up the value chain & enhance the equity of our brand .

=> optimum utilization of resources – men & machines

=> faster turnaround of capital - money is expensive these days

=> lean inventories – just in time manufacturing

=> global sourcing of raw material & inputs

=> wide distribution and cost effective multiple channel structures

#######