PT Kewalram Indonesia
Special Interview with Mr. Krishnamurthy M.R,
SHARING YOUR LIFE
We are pleased to have had a chance to interview Mr. Krishnamurthy M.R., Director of PT Kewalram Indonesia, about their business in the Indonesian market and their expectations of VORTEX.
What is your impression about the status of global business?
Mr. KrishnamurthyInternational business is very competitive due to the economic crisis throughout the world, especially in case of the USA and Europe. Consumption of yarns for apparel and for niche markets as in the USA and Europe has come down drastically. We can see some improvement in business activity in the Asian countries as well as South American countries like Brazil and Argentina. The business for yarns used for the manufacture of industrial textiles like conveyor belting, fire hose, sun protection fabrics, automotive fabrics is still very stable and growing.
How do you perceive the current Indonesia market?
Mr. KrishnamurthyIn the Indonesia market we still feel there is good demand of quality yarns but prices are under pressure due to steep depreciation of the local currency and fluctuations in raw material prices. We are still very optimistic about growth of the Indonesian textile market due to stable policies of the Government of Indonesia in comparison to other countries.
Muratec released the VORTEX Ⅲ 870 last year and you quickly placed an order. Please tell us your decisive reason for choosing 870.
Mr. KrishnamurthyWe installed our first set of 10 VORTEX machines in 2011. The yarn quality has been consistently high since the day we started production with full cooperation of the Muratec technical team. Customer feedback on the quality of VORTEX yarn is very encouraging. VORTEX yarn definitely has certain edge on Ring/Open End yarns in an applications. Also, the investment cost is less for VORTEX technology compared to Ring spinning for the production of the same volume of yarn. Also, the the operational cost per kilo of yarn in VORTEX technology is much less than Ring technology. The selling price per kg of yarn for the same count in case of VORTEX and RING is more or less the same or slightly better in case of Vortex, depending upon the count and quality. Lower investment cost combined with the lower operational cost makes the Return On Equity (ROE) much faster. This is the decisive reason for choosing the Muratec VORTEX machines.
What kind of product are you making in VORTEX?
Mr. KrishnamurthyWe are producing Rayon 100%, P/V blends, as well as Polyester 100% for knitting and weaving. Our count range is from Ne 16s to 60s. For development of coarser counts we are still working with the Muratec technical team.
What is your sales strategy for the VORTEX business and what is your sales point for VORTEX yarns?
Mr. KrishnamurthyOur strategy is to work with top brands instead of selling in commodity market. We can get better value addition for this high quality yarns if we work with top quality producers in niche markets. We are trying to develop VORTEX yarns for the technical textiles end use as Kewalram is already in this segment with Ring and open end yarns.
Please tell us what expectation you have of Muratec in the future and what development would you like to see in VORTEX?
Mr. KrishnamurthyOur suggestion for improvement is to develop coarser counts below 16s even up to Ne 8s because there is a good market for these yarns in technical textiles as well as Industrial yarns. Splice strength is very low in case of coarse counts. We are already working with Muratec for these issues. Also we should try to develop yarns for sewing thread end use. Muratec should work with Mesdan to develop splicers for cheese winders for plied yarns. Nowadays knots in twisted yarns are not acceptable for fabrics used for coating and curtains. We are very confident that Muratec technical team will succeed in overcoming the above problems.