RSWM is focused on strengthening its existing product verticals

The LNJ Bhilwara Group’s flagship company, RSWM, established in 1961, is one of India’s leading textile manufacturers and exporters and has a global reach to more than 78 nations worldwide as well as strong pan-India penetration. In this conversation, Balkrishna Sharma, Business Head and Chief Executive of RSWM’s Yarn Business, discusses current industry trends and provides a yarn market update in a conversation with Divya Shetty.

Can you provide a brief overview of RSWM.
RSWM is a manufacturer of high quality of dyed, grey, mélange yarns, denim and knitted fabrics. The spindle capacity of RSWM exceeds 5 lakhs along with 5120 rotors, 172 looms and 56 knitting machines.
In Yarns, RSWM boasts a comprehensive yarn portfolio in ring spun, open end, compact, Eli-twist, core-spun, TFO and industrial yarns. We offer ring spun yarns in various counts with polyester, acrylic, cotton, viscose, and their blends. Additionally, we provide specialised options with features like super high tenacity and biodegradability in polyester spun segment. RSWM’s premium brands include Ultima in polyester and polyester/viscose blends and Kapaas in cotton compact yarns. In totality, we produce 1,50,000 metric tonnes of yarns, 32 million metres of denim fabrics and 5400 metric tonnes of knitted fabrics annually.

In the ever-changing textile industry, what trends do you see shaping the future, and how is RSWM adapting to stay ahead?
Growing environmental awareness has driven the demand for sustainable, eco-friendly textiles, environment friendly production processes and circular economy initiatives. RSWM accordingly is designing products with a focus on durability, repairability, and recyclability and is a responsible choice for the self-aware consumer of present era.
Second important aspect which is gaining momentum is digitalisation and industry 4.0. In line with this, the RSWM’s SJ 11 plant at Kharigram, Gulabpura, Rajasthan as well as Kapaas plant at Banswara Rajasthan, is laced with advanced technology to power the production of a yarn.
Third is the rise in the development of smart textiles, which incorporate electronic components and technology. This includes fabrics with integrated sensors, conductive threads having fibre with silver coating, and wearable technology for applications in sports, healthcare, and fashion. Besides, the ongoing research in advanced materials, including nanotechnology, is influencing the development of textiles with enhanced properties such as durability, stain resistance, and improved performance.
Fourth trend is the growing interest in personalised and customised products. Flexible manufacturing processes at RSWM allow for small-batch and on-demand production, meeting the demand for unique and tailor-made textiles.

Sustainability is becoming increasingly important in the textile sector. How is RSWM incorporating sustainable practices in its operations and products?
RSWM demonstrates its commitment to sustainable practices through adherence to international standards like the Global Organic Textile Standard (GOTS), Global Recycle Standard (GRS) Regenagri, Better Cotton Initiative (BCI), Environment Management System (EMS) and FSC certificates.
We continually seek ways to minimise waste, use renewable materials, and reduce energy consumption in our operations. Our fabrics are dyed with environmentally friendly dyes and pigments employing advanced techniques that minimise water and chemical usage.
Furthermore, RSWM treats all post-process water in its effluent treatment plant and purifies it before returning it to the environment in a cleaner state. This helps company save 1350 kilolitres of water daily.
We also recycle over 60 lakhs discarded PET bottles daily in Ringus. These bottles are transformed into innovative, eco-friendly fibres under the brand name ‘Fibre Green,’ subsequently used in yarn production.
The company also actively recycles pre and post-consumer waste, processing 30 tons of worn fabric monthly through garneting. RSWM demonstrates its commitment to clean energy with a total of 32.36 MW of solar power plants installed on rooftops and ground mounts, complemented by a 40 MW wind capacity. RSWM annually reduces CO2 emissions by an impressive 39974718 lbs from solar power alone.

How has the global yarn market been evolving, and what impact has it had on RSWM’s business strategies?
Consumer these days are preferring comfortable and cost-effective clothing, which has increased the demand for high-end fabrics such as silk, viscose, linen and hemp. Blended fibres are also seeing rapid market growth.
In response to these trends, RSWM has made strategic investments to enhance its product mix and increase the proportion of value-added products. To bolster our innovation and maintain our competitive edge, RSWM has instituted a new product development cell across all business segments, with a capacity to convert fibre to finish fabric, to harness the potential growth opportunities presented by the rapid expansion of this sector.

Can you highlight any specific yarn varieties or blends that are gaining popularity in the market, and how is RSWM responding to these trends?
RSWM stands at the forefront of the sustainable textile revolution, through the introduction of biodegradable recycled polyester powered by CiCLO technology. In addition, our technical team is pushing the boundaries to craft textile blends that not only rival conventional counterparts in terms of quality and price but also uphold our commitment to environmental responsibility. At RSWM, we have consistently been at the vanguard of redefining textiles and envisioning a brighter, more sustainable tomorrow. We are investing in technology and continuous research and development to not only stay ahead of the curve but also to redefine it.

What are the key challenges and opportunities in the current yarn market, and how is RSWM addressing them?
First and foremost, the COVID-19 pandemic has exerted a lasting impact on the yarn market. It led to fluctuations in demand with disruptions in production and distribution.
Compounding these challenges are the current geopolitical circumstances, marked by the outbreak of two wars and a worldwide economic downturn.
Additionally, the market is contending with the spectre of soaring inflation, which is impacting the cost structure of yarn production. The industry is grappling with rising labour and energy costs, which further challenge its operational efficiency and competitiveness.
RSWM is addressing these challenges in a strategic manner by focusing on enhancing their value-added product mix, investing in modernisation and capacity expansion to boost turnover, operational efficiencies and profitability.

Are there any specific regions or markets where RSWM sees significant potential for growth in the knitting sector?
Sportswear and athleisure wear have been experiencing rapid growth. In India, there is a noticeable gap in the market due to the limited availability of high-quality suppliers in these categories. Recognising this opportunity, RSWM is focusing its efforts on becoming a prominent manufacturer of fabrics tailored for international brands in sportswear, athleisure wear, as well as the fashion industry.
RSWM’s goal is to establish itself as a leading player in the production of textiles that cater to the diverse needs of these thriving sectors. The demand for such fabrics is not only driven by the domestic market but also by key export destinations such as Sri Lanka, Bangladesh, and Vietnam.

What are RSWM’s strategic growth plans for the Yarn Business in the coming years?
RSWM, growth trajectory is underpinned by a substantial investment of Rs 315 crore. The investment has facilitated the introduction of 51,072 premium compact cotton yarn spindles under the brand name Kapaas which combines technological prowess of Trützschler Group, Marzoli Central Asia , KTTM, Rieter and a centralised quality control system by Uster Technologies under one roof.
RSWM is also focused on strengthening its existing product verticals. This strategic move aims to bolster cash flows and enable the company to undertake more prominent and stimulating projects moving forward.