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VORTEX

SAPPHIRE GROUP OF COMPANIES

Special Interview with Mr. Abdullah, Chairperson & CEO, and
Mr. Shahid Abdullah, the President & CEO of Sapphire Textile Group

SHARING YOUR LIFE
2004 Autumn

Sapphire Group of Companies is one of the largest manufacturer and exporter of textile products in Pakistan. They get technology from Europe and Japan. The main raw material, Cotton, is sourced locally and the specialized fibers are imported. The manufacturing from yarn to finished fabric is done in Pakistan. Synergies are formed with off-shore garment manufacturing companies. Their products are marketed to the industry's biggest names in Asia, Europe, Australia, and North America.
We talked with Mr. Shahid Abdullah of Sapphire Textile Group.

Mr. Abdullah
Chairperson & CEO
of Sapphire Textile Group

Mr. Abdullah

Mr. Shahid Abdullah
President & CEO
of Sapphire Textile Group

Mr. Shahid Abdullah
Kindly Introduce Sapphire Group, Its existing set up and production capacity, exports and markets etc.
Mr. S. Abdullah

250,000 spindles, 400 looms, 10 tons dyeing for knitting, 10 tons yarn dyeing, 5 million meter for woven fabric dyeing with total turnover US $240 million.
What is your future plan for expansion or diversification in different products ?
Mr. S. Abdullah

Future strategy: going to value added products, shifting from commodity to product. Investing heavily in Compact Spinning and latest technology of winding and other machinery.
Where do you see Pakistan's textile industry after WTO regime ?
Mr. S. Abdullah

We see very positive future. Specially after 2005 becz retailers in European and USA are looking to source from 5 countries and one is Pakistan. Why Pakistan? Because Pakistan is producer of raw cotton and having cheap labor.
What is your opinion about the recent huge investment in the textile sector of Pakistan ?
Mr. S. Abdullah

We see the business will change and today is the game of efficiency with low cost. Economy of scale is very important and there is a deflation in garment prices so most of Pakistani Group will form relationship with large retailer Group. There is huge production of fine count in Eastern European countries, which has to shift Pakistan due to cheap labor. So, we see bright future of Pakistan Textile sector not only in spinning section.
What are your comments on the long relationship with Muratec ?
Mr. S. Abdullah

Muratec is a very good business partner for our Group. In terms of both technology and service

Any particular feature that is noticeable for you in new 21C ?
Mr. S. Abdullah

I think after developing the straightyarn path machine together with its tension manager system has considerably improved the quality of yarn. The IPIs have jumped up and the speed is also improved.
I think the competitors of Muratec do not have such system therefore it is giving an edge to Muratec over other winders. I mean high productivity with high quality.

No.21C Process Coner at Saphire Textile Group

No.21C Process Coner at Saphire Textile Group

Any suggestion for improvement in products and services ?
Mr. S. Abdullah

I think in this world of profession and technology the cushion of improvement always exist and same is the case with Muratec.
Although we are very much satisfied with the performance of Muratec winders but we would suggest keeping the same pace of improvement in technology and services especially in value added products.
Sapphire Group of Companies

SAPPHIRE GROUP OF COMPANIES
Lahore, Pakistan


http://www.sapphire.com.pk/

Sapphire's Textiles started with one spinning mill in 1969 and now employ over 10,000 people and have an annual turnover of US$ 240 million.

Sapphire Group of Companies

Saphhire group now consists of the following plants:
- 11 yarn spinning plants: 60,000 tons of yarn annually
- 3 woven plants of greige fabric: 50 million meters annually
- 1 yarn dyeing plant: 5 tons per day
- 1 Knitting plant: 10 tons per day
- 1 Knitted fabric dyeing plant: 10 tons per day
- 1 Woven fabric Dyeing & finishing Plant: 1.2 million meters per month
- 1 Home Textiles: Capability to produce wide range of Home Furnishing items
- 3 Power Generation plants: 40 Mega watts.

The above information was written in August 2004.

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