Sintex Industries Ltd, the Gujarat based manufacturer of textiles and plastic tanks is optimistic of recovery in its fortunes following the drop in sales turnover in the previous fiscal, mainly due to the impact of the global economic downturn.
Sintex is a producer of high-end fabrics and counts reputed global fashion and apparel brands like Diesel, DKNY and Armani amongst its clients. Revenues from the textile division slipped from Rs 3.75 billion in fiscal 2008-09 to Rs 3.46 billion in 2009-10.
However, Mr Amit Patel, Managing Director of Sintex Industries informed fibre2fashion that he is optimistic of a strong turnaround in its textiles division as they have started seeing signs of revival as export growth is finally witnessing positive trends after months of registering sluggish growth.
When asked about the impact of downturn on the textile business and the current situation, he replied by saying, “Indian textile exports were growing because of the high demand and spending capacity of US and European consumers. The US and Europe are the major consumers of our textile product in terms of volume.
“We all know that there was an economic slowdown and this had a negative impact on whole textile market because of low ranging demands. Sintex also had to face the same situation last year. High inflation rates and slow industrial growth has left textile exporters like us in a dire state, as the impact of recession hit our fashion market business.”
Revealing his expectations from this fiscal year, he informed, “We expect a very positive trend for this fiscal and we have already started developing new and big markets other than US as an effective alternative.
“We now have new markets in South American countries like Brazil, Argentina, UAE in Asia and Russia. Sintex will focus on environmentally friendly product, continuous product, process and technological innovation.
“Cost cutting strategy also will help us managing the business successfully. Sintex will continue to focus on innovative niche products. We are expecting improved volumes from the new overseas territories and anticipate good recovery, based on the developments in the high-end consumer market”, he concluded by saying.
Fibre2fashion News Desk - India