..compact yarn segment will be profitable market in immediate future due to high margin and high value added product.
Multimode Group- a renowned Bangladeshi corporate identity, has presence in Textiles, Agriculture, Automobiles, Chemicals, Energy, Entertainment, FMCG, Hospitality, Information Technology, Investments, Real Estate and is continuing its diversification and consolidation in different industries. The Group initially started with the shipping industry, but has since diversified its portfolio to include a host of other business ventures. Multimode's business strategy has always been the continual progress of existing operations and a steady search for new ventures. On textile front, Multimode operates through subsidiary Dulamia Cotton Spinning Mills Ltd that is one of the pioneer in spinning in the private sector of the country. The Company was incorporated on 28th February, 1987. The name of the Company "DULAMIA" was chosen to give honor to the late grandfather of Mr Abdul Awal Mintoo, Chairman & CEO of the Multimode Group. Mr Mintoo has a high academic background and commendable experience in the field of Trade, Industry, Shipping, Banking and Insurance. Born on 22nd Feb, 1949, he obtained BSc degree in Transportation Science in 1973 and MSc in Transportation Management in 1977 from Maritime College under the State University of New York. Post his graduation he started working with Bresnan Shipping Company Inc- New York, in the field of Chartering and continued until 1980. He returned to Bangladesh in 1981. Since then Mr Mintoo involved himself with various other business and industrial establishments. Mr Mintoo began his career aspiring to be a ship captain but eventually discovered a successful businessperson and outstanding entrepreneur of Bangladesh. He advocates societal structure that simultaneously embraces both the market and government. A fearless champion of the cause of strengthening the economic infrastructure of Bangladesh, Mintoo’s business edifice was built by his capitalizing on rich and varied experience, steady resolve and an indomitable spirit. Mr Abdul Mintoo, in interview by Ms Madhu Soni, Sr Editor & Correspondent- Face2Face, speaks about challenges the textile business faces in Bangladesh.
Mr Mintoo, we noticed your Group has 30 years of textiles experience but being into just spinning arena. When Multimode has ventured into all capital-intensive sectors like investments, estate, transport, energy, I am inquisitive to know what keeps Multimode from venturing into further integration in lucrative sector of textiles and garments.
Well, that was mainly because of two aspects; lack of finding suitable joint venture foreign partner, and secondly, lack of raw materials like Cotton in the Country.
So, how would you summarize textiles market, globally?
As Raw Cotton Prices remain high, Cotton producing countries will have competitive advantage and local companies will invest to integrate in backward linkage.
In textile business, Compact yarn segment is looked upon as profitable market in immediate future. Is it so? What would be factors?
The factors for considering compact yarn segment as profitable market in immediate future are – high margin and high value added product. This is because it is hairiness free, improved strength and produces high quality products, which has equal demand both in local and international market.
As you mentioned above; scarcity of Cotton is affecting your operations. More so, because of ban on export from India, and meagre production from Pakistan. Isn't it? Have you resorted to changed pattern in sourcing?
You are right. It has always upset our supply chain of Raw Materials. We are compelled to outsource from CIS/African Countries for which supply cost us more.
In your stance, what other problems choke-up good growth of Bangladeshi textiles?
Political instability, genuine source of Raw Cotton
How is your Group functioning on CSR front?
Along with compliance to our environmental standards in all our corporate moves, beyond business the group has established College, High Schools, and tries to encourage talent & skills awarding scholarship to many poor students etc.
DISCLAIMER: All views and opinions expressed in this column are solely of the interviewee, and they do not reflect in any way the opinion of Fibre2Fashion.com.