The government policies has shown positive results on the ground

Rossari Biotech is a leading specialty Chemicals Company based in India. The company provides customised solutions to industrial and production requirements of their customers through diversified product portfolio. Puneet Arora, Director, Chief Strategy Officer, Rossari Biotech, shares the growth opportunities that the Indian textile industry is presenting with Divya Shetty.

Kindly brief us about your company.

Here is a brief overview of the company:
Product Offerings: Rossari Biotech offers a diverse range of innovative and sustainable specialty chemicals across various industries. Their product portfolio includes textile chemicals, home care and personal care ingredients, animal health and nutrition solutions, performance chemicals, and cleaning, hygiene, and disinfection solutions.
Textile division: Rossari Biotech’s textile division provides a wide range of specialty chemicals for the textile industry. Their offerings include dyes, pigments, textile auxiliaries, and finishing chemicals. These chemicals are designed to enhance the performance, sustainability, and aesthetics of textiles.
Manufacturing facilities: Rossari Biotech has state-of-the-art manufacturing facilities located in India. These facilities are equipped with advanced technologies and adhere to strict quality standards. The company focuses on maintaining high-quality production processes and has a robust research and development division to drive innovation.
End-user industries served: Rossari Biotech serves various industries, including textiles, home care, personal care, animal health and nutrition, performance chemicals, and construction chemicals. Their products cater to a wide range of applications within these industries.
Exports: Rossari Biotech has a significant presence in the international market. They export their products to numerous countries across the globe, including the United States, Europe, Africa, the Middle East, and Asia. The company’s commitment to quality and focus on meeting global standards has helped establish a strong export footprint.
Innovation and sustainability: Rossari Biotech places a strong emphasis on research and development to drive innovation and provide sustainable solutions. They prioritize developing eco-friendly and sustainable products that align with global trends and customer requirements.
Overall, Rossari Biotech is a dynamic specialty chemicals company with a diverse product portfolio, a strong manufacturing infrastructure, a focus on innovation and sustainability, and a global presence across multiple industries.

How was your performance in FY23? What were the key challenges in FY23?

Key challenges in the Indian textile division can include:
⦁ Raw material costs: Fluctuating prices of raw materials, such as cotton, dyes, and chemicals, can impact profitability and cost competitiveness.
⦁ Global competition: The Indian textile industry faces intense competition from other countries, particularly in terms of cost, quality, and design. Staying competitive in the global market is crucial.
⦁ Evolving consumer preferences: Consumer preferences and trends are constantly changing. Meeting the demands for sustainable, eco-friendly, and innovative textiles requires adaptation and constant product development.
⦁ Regulatory compliance: Adhering to evolving regulations, trade policies, and environmental standards can be challenging and requires continuous monitoring and investment.
To grow despite these challenges, textile companies can adopt various strategies, such as:
⦁ Product diversification: Expanding product offerings and diversifying into value-added segments can help tap into new markets and cater to evolving consumer preferences.
⦁ Innovation and technology adoption: Embracing advanced technologies, implementing digital printing, automation, and incorporating sustainable practices can enhance productivity, product quality, and cost efficiency.
⦁ Supply chain optimisation: Streamlining the supply chain, improving logistics, and building strong partnerships with suppliers and distributors can reduce lead times, enhance efficiency, and manage costs effectively.
⦁ Market expansion and export focus: Exploring new markets and expanding export opportunities can help mitigate the impact of domestic challenges and tap into global demand.

What is your current assessment of India’s textile industry?
India’s textile industry is one of the largest contributors to the country’s economy, providing employment to millions of people and contributing significantly to exports. While the industry has shown resilience and growth, it also faces several challenges:
⦁ Global competition: The global textile market is highly competitive, with countries like China, Bangladesh, and Vietnam being major players. Indian textile manufacturers face competition in terms of cost, quality, and speed of production.
⦁ Technological upgradation: Adopting advanced machinery and technology is crucial for improving productivity, reducing costs, and meeting international quality standards. The textile industry in India needs to invest in textile engineering and automation to stay competitive.
⦁ Sustainability and compliance: Increasing consumer demand for sustainable and eco-friendly textiles has put pressure on the industry to adopt environmentally friendly practices. Compliance with international standards and regulations is necessary to maintain market access and meet customer expectations.
Despite the challenges, the Indian textile industry presents growth opportunities:
⦁ Technical textiles: The sub-segment of technical textiles, which includes products like geotextiles, medical textiles, and protective textiles, is showing promising growth. Technical textiles find applications in various industries such as infrastructure, healthcare, and defence.
⦁ Apparel and fashion: India has a rich heritage in textiles and is known for its diverse range of traditional textiles and craftsmanship. The growth of the middle class, rising disposable incomes, and globalization of fashion trends present growth opportunities in the apparel and fashion segment.
⦁ Home textiles: The demand for home textiles, including bed linen, towels, and carpets, is on the rise both domestically and in the international market. Increasing urbanization, lifestyle changes, and the growing hospitality industry contribute to the demand.
⦁ Digital textile printing: The adoption of digital textile printing technology offers opportunities for customisation, shorter production times, and reduced wastage. This technology is gaining popularity in sectors like home textiles, apparel, and signage.

What is the global standing of the Indian textile industry?
The Indian textile industry holds a significant global standing and is known for its rich heritage, craftsmanship, and diverse range of products. India is currently the world’s second-largest textile exporter, contributing significantly to the country’s economy and employment generation.
To enhance India’s global competitiveness in the textile industry, there are a few key areas to focus on:
⦁ Technology and innovation: Encouraging the adoption of advanced technologies and fostering innovation can help streamline production processes, improve product quality, and reduce costs. Investing in research and development can lead to the creation of new and unique textiles, giving India a competitive edge.
⦁ Skill development: Emphasising skill development programs and training initiatives can enhance the expertise of workers in the industry. This would contribute to the production of high-quality textiles and create a skilled workforce capable of adapting to changing market trends.
⦁ Sustainable practices: Incorporating sustainable practices in manufacturing, such as utilizing eco-friendly materials, reducing water consumption, and minimizing waste, can attract environmentally-conscious consumers. This can improve India’s reputation as a responsible and sustainable textile producer.
⦁ Infrastructure development: Enhancing infrastructure, particularly in terms of logistics and transportation, can smoothen the supply chain, reduce lead times, and make exports more efficient. Upgrading manufacturing facilities and creating textile parks can also attract foreign investment.
⦁ Market diversification: Exploring new markets and expanding the range of products offered can help India diversify its customer base. Targeting niche markets or identifying unique selling points can contribute to increased global competitiveness.
By focusing on these aspects, India can further strengthen its position in the global textile industry and continue to offer unique and high-quality products to the world.

Are the government policies to boost the industry’s growth working on the ground? What else should the government do to propel growth?
The government policies aimed at boosting the growth of the textile industry in India have shown positive results on the ground. Initiatives such as the “Make in India” campaign, simplified tax structures like GST, and schemes like the Technology Upgradation Fund Scheme (TUFS) have played a crucial role in encouraging investment, improving competitiveness, and creating employment opportunities.
However, to propel further growth, the government can consider the following measures:
⦁ Infrastructure development: Continued focus on improving infrastructure will help address logistical challenges and reduce transportation costs. Developing textile-specific industrial clusters, ensuring consistent power supply, and strengthening connectivity will enhance the industry’s efficiency.
⦁ Export promotion: The government can introduce targeted export promotion schemes to support textile exporters. Providing financial incentives, facilitating market access, and promoting trade fairs and exhibitions can help Indian textile manufacturers and exporters expand their global reach.
⦁ Skill enhancement: The government should continue to invest in skill development programs to ensure a skilled workforce with up-to-date knowledge and expertise. Collaborating with industry stakeholders to design training programs aligned with market demands will help bridge the skill gap and maintain a competitive edge.
⦁ Research and development: Encouraging research and development activities within the industry will foster innovation and promote the development of new textile products. The government can provide incentives and grants to support research initiatives, leading to the creation of unique and value-added textiles.
⦁ Ease of doing business: Streamlining bureaucratic processes, reducing red tape, and simplifying regulatory compliance will attract more investment and promote entrepreneurship within the industry. Implementing online platforms and digitizing processes can expedite approvals and promote ease of doing business.
By implementing these measures, the government can further propel the growth of the Indian textile industry, attracting investment, fostering innovation, and creating a favorable business environment for all stakeholders involved.

What kinds of trends are you seeing in the market at present? How is your company gearing up to tap these trends?
In the present textile market, several trends are shaping the industry. Some of the prominent trends include:
Sustainable and eco-friendly textiles: There is a growing demand for textiles produced using sustainable practices and eco-friendly materials. Consumers are increasingly conscious of the environmental impact of their purchases. As a result, textiles with reduced water and energy consumption, organic or recycled fibres, and environmentally friendly dyeing and finishing processes are gaining popularity.
⦁ Functional and performance textiles: The demand for textiles with enhanced performance attributes is on the rise. These include fabrics with moisture-wicking properties, UV protection, antimicrobial properties, and improved breathability. Such textiles are sought after in various sectors, including sportswear, activewear, and technical textiles.
⦁ Digital printing and customisation: Digital printing technology has revolutionized the textile industry, allowing for quick and cost-effective customization. Consumers now seek unique designs, personalization, and smaller production runs. Digital printing enables manufacturers to cater to these demands, resulting in increased customer satisfaction.
⦁ Ethical and transparent supply chains: Consumers are increasingly concerned about fair labour practices, ethical sourcing, and transparency in the textile supply chain. Brands that prioritize these aspects, ensuring safe working conditions, fair wages, and responsible sourcing, are gaining favour among conscious consumers.
Regarding Rossari Biotech’s approach to tapping these trends, as an innovative specialty chemicals company, they are well-positioned to address the emerging needs of the textile industry. Rossari Biotech offers a range of sustainable and functional textile chemicals that align with current market trends. Their product portfolio includes eco-friendly and sustainable dyeing and finishing chemicals, performance additives for functional textiles, and solutions for digital printing.
Moreover, Rossari Biotech emphasizes research and development to continuously innovate and stay ahead of market demands. They collaborate closely with textile manufacturers to understand their specific requirements and develop customized solutions. By offering products that cater to sustainability, performance, and customization needs, Rossari Biotech is gearing up to tap into the evolving trends and contribute to the growth of the textile industry.

What are your expectations & growth plans for FY24?

Below are insights into potential areas of focus for organic and inorganic growth for exponential growth:
Sales:
⦁ Untapped market expansion: Identify new markets or regions where there is a demand for textile products. Develop sales strategies to penetrate these markets and increase market share.
⦁ Customer relationship management: Focus on building strong relationships with existing customers and understanding their evolving needs. Offer personalized solutions, provide exceptional customer service, and foster loyalty.
⦁ Product diversification: Explore opportunities to expand the product portfolio by introducing new textile products or variations. Conduct market research to identify emerging trends and develop products that align with customer preferences.
⦁ Strategic partnerships: Collaborate with key industry stakeholders, such as textile manufacturers, designers, or retailers, to leverage their distribution networks and expand the customer base.
Innovation:
⦁ Sustainable solutions: Develop and introduce sustainable textile products that align with growing environmental concerns. Utilize eco-friendly materials, reduce water and energy consumption during production, and promote recycling and circular economy practices.
⦁ Technological advancements: Embrace technological innovations in the textile industry, such as digitally integrated production processes, smart fabrics, or automation systems. Invest in research and development to stay at the forefront of technological advancements.
⦁ Performance enhancement: Continuously improve the performance characteristics of textile products, such as durability, comfort, moisture-wicking, or stain resistance. Stay updated with the latest advancements in textile science and incorporate them into our product offerings.
⦁ Customisation and personalisation: Offer customizable textile solutions to meet the unique requirements of customers. Utilize digital technologies to enable personalized designs, color choices, or sizing options, catering to individual preferences.