AUGUST 2015

August 2015 Volume 3 Issue 8 Pages 44
ISSN No.: 2278-8972 RNI No.: MAHENG / 2012 / 43707
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EDITORIAL
Ms. Jigna Shah
Editor & Publisher
All rights reserved Worldwide; Reproduction of
any of the content from this issue is prohibited
without explicit written permission of the
publisher. Every effort has been made to ensure
and present factual and accurate information.
The views expressed in the articles published in
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and not necessarily that of the publisher. Textile
Value chain is not responsible for any unlikely
errors that might occur or any steps taken
based in the information provided herewith.
Registered Office
Innovative Media and Information Co.
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Web: www.textilevaluechain.com
Owner, Publisher, Printer & Editor
Ms. Jigna Shah
Printed & Processed by her at,
Impression Graphics,
Gala no.13, Shivai Industrial Estate,
Andheri Kurla Road,
Sakinaka, Andheri (East),
Mumbai 400072,
Maharashtra, India.
R
etail is the process of selling the consumer goods
and/or services to customers through multiple
channels of distribution to earn profit. Looking at
its meaning, today’s consumer are informed and buy intel-
ligently by analysing all the information gathered by them
from their smart devices. Today consumer have many mar-
ket choice whether they can buy from Brick stores, street
shops, online stores or mobile apps.With the new market
created to sell, now there is a competition between market
to enthuse customer to look and buy.
Retail is all about marketing your products with refer-
ence to positioning which company wants to give in mind
of customer. Ambience, layout of store, placement of gar-
ments, kind sales representative, all this make the brand win
over the others in clutter of retailing. Offline retail targets
two types of consumer. Brand Conscious and Price sensitive
consumer. Eg. Indian Organised retail, Brand Conscious con-
sumer targeted by Lifestyle, Pantloon, Shoppers stop etc.
Price sensitive consumer targeted by Big bazar, Reliance re-
tail etc.
Trading community, small shops are worried whether
their existence will be there or not in coming years? The an-
swer is uncertain. The way India’s population digital use is
growing, increasing brand consciousness, everyone need
to adapt new attitude.India with wide diversity in language,
culture, region, religion etc. Market dynamics of each is dif-
ferent, one strategy can’t be implemented in every market.
Many Internet companies providing free access of in-
ternet in tier 3 & 4 cities as awareness programme. WWW
( world wide web) is major discovery of this century. This
discovery has lead great evolution in the world. Consumer
wants to try new products from the world, internet is the
best medium to search information, reviews and make in-
Modern Retailing : Bricks or Clicks ??
formed purchase decision. Small time cities are most fast-
est growing community who are accessing internet. Brand
: Where brand/ company can’t reach through their channel
partner to small town/cities, now directly know their user
community. In a long run, Channel partners’ dependency will
be reduced. SME : e-tailing is an excellent marketing tool,
cost effective with fastest/ wide reach.
Apparel category, fastest growing category in e-tailing.
E-tailing gives you wide range, without exclusivity.Regular
wear garments with repeat purchase with same size/ fit,
consumer don’t mind to try online option, with discounts in
mind. Eg. Ladies tops, denims, etc. Garment wore not only
to cover body but it also shows reflect status in the society.
Wedding tradition wear, consumer still prefer their local de-
signer/ tailors which keeps exclusivity.
Retail is value chain last contributor, today’s buzz word,
talk of the town, suddenly everyone wants start profession-
al e-tailing company or work from home as e-tailing partner
with the help of social media, web portals. Today when you
open your eyes every morning, national newspaper flash
with full page advertisement of any online retail store or of-
fline mall discounts offers etc. In a way, its increasing aware-
ness, consumer has more choices to buy from.
Whether its offline stores or e-commerce, Retail is the
only tool to increase the consumption of the industry, in-
crease consumption is the only survival for manufacturing
industry. In this issue, we have taken interviews from estab-
lished brand, offline retail stores, Statistics of e – commerce.
Hope you like our cover story. Your feedback is appreciated.
Wish you happy reading..!!!

6
EDITORIAL TEAM
Editor & Publisher
Ms. Jigna Shah
Editorial Advisor
Shri V.Y. Tamhane
Consulting Editor
Mr. Avinash Mayekar
Graphic Designer
Mr. Anant A. Jogale
INDUSTRY
Mr. Devchand Chheda
City Editor - Vyapar ( Janmabhumi Group)
Mr. Manohar Samuel
President, Birla Cellulose, Grasim Industries
Dr. M. K. Talukdar
VP, Kusumgar Corporates
Mr. Shailendra Pandey
VP (Head – Sales and Marketing), Indian Rayon
Mr. Ajay Sharma
GM RSWM (LNJ Bhilwara Group)
EDUCATION / RESEARCH
Mr. B.V. Doctor
HOD knitting, SASMIRA
Dr. Ela Dedhia
Associate Professor, Nirmala Niketan College
Dr. Mangesh D. Teli
Professor, Dean ICT
Dr. S.K. Chattopadhyay
Principal Scientist & Head MPD
Dr. Rajan Nachane
Retired Scientist, CIRCOT
CONSULTANT / ASSOCIATION
Mr. Shivram Krishnan
Senior Textile Advisor
Mr. G. Benerjee
Management & Industrial Consultant
Mr. Uttam Jain
Director PDEXCIL; VP of Hindustan Chamber of Commerce
Mr. Shiv Kanodia
Sec General, Bharat Merchant Chamber
Mr. N.D. Mhatre
Dy. Director, ITAMMA
August 2015 ISSUE
CONTENT
ADVERTISER INDEX
NEWS
11- Government News
12- Association News
COVER STORY : Modern Retailing :
Bricks –Clicks- Tap ..!!!
13- New face of Indian Retail
by Mr. Avinash Mayekar
14 – E-commerce Brief report
16- Not Just another brick in the wall
by Mr. Vishnu Govind
18- Interview : Mr. Mohit Dhanjal- Raymond Ltd.
19- Interview :Mr.Govind Shrikhande - Shoppers Stop
19- Interview : Mr. B.S. Nagesh – TRRAIN
ARTICLES
21- New Business Opportunity in Iran by Mr. Arvind Sinha
23- Spinning Geometry by Mr. Akash Bansode
COMPANY/ BRAND FOCUS
22- LAXNESS
25- NANDAN EXIM
29- TRIDENT
35 - BIRLA
SHOW/ EVENT REPORT
26- TEXTILE FRIENDS MEET
28- ITTA- MEDICAL TEXTILE
29- YFA SHOW
34- Show Calendar
REPORT
29- Fabric & Market Review
28- Cotton
Back Page: Raymond
Back Inside :BSL
Front Inside :TECHTEXIL
Page 3: NarainSysnthetics
Page 5: Bajaj Fab
Page 7 : SGS Innovation
Page 8 :ITMACH
Page 9 :Rabatex
Page 10 :ITF - DUBAI
Page 36 :TEMTECH
Page 37 :Sanjay Plastic
Page 38 :YFA
Page39 : Textile Machinery
Expo
Page 40 : PRD cotton
Page 41: Non Woven Tech
Asia

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August 2015 www.textilevaluechain.com
The Prime Minister, Shri Narendra
Modi, today said handlooms can be a tool
to fight poverty, just as swadeshi was a tool
in the struggle for freedom. He said Khadi
and handloom products provide the same
warmth that mother’s love provides.
He was speaking at the celebrations of
the first National Handloom Day in Chennai.
The Prime Minister emphasized that
India, whose handicrafts were once in de-
mand across all continents, had not been
able to market its handloom products well
in recent times. He said that with the world
becoming progressively more aware about
the environment and holistic healthcare,
there is a need to highlight the eco-friendly
aspects of handloom products.
The Prime Minister recalled his appeal
on the radio programme “Mann KiBaat”
in October last year, for all households to
keep at least one Khadi product at home.
He said that he had been informed that
Khadi sales have risen by 60 percent since
then. He said a similar effort now has to be
made for handloom products.
On an emotional note, the Prime Minis-
ter said that the entire family of a weaver is
involved in the creation of a product such
as a saree. He said the family makes the sa-
ree just as a mother brings up a daughter
- and once it is ready, the family bids it fare-
well, the way a bride is bid farewell after
the wedding.
The Prime Minister launched the India
Handloom Brand for better market posi-
tioning of quality handloom products.
The PM also presented the Sant Kabir
Awards and National Awards for the years
2012, 2013 and 2014 to distinguished hand-
loom personalities.
Union Minister of State for Textiles (I/C),
Shri Santosh Kumar Gangwar recalled that
it is in memory of the Swadeshi movement
that the National Handloom Day is being
observed. He expressed his gratefulness
to the Hon’ble PM for accepting the Minis-
try’s request to launch National Handloom
Day. Shri Gangwar extended his wishes to
the weavers and to all who are working for
the development of the handloom sector.
He said that the presence of the Prime Min-
ister would help boost the pride and self-
confidence of the weavers.
The Textiles Minister said that the Gov-
ernment of India is fully committed to the
social and economic development of hand-
loom weavers. Welcoming the awardees of
Sant Kabir and National Handloom Awards,
he expressed the hope that they would
take forward the rich handloom tradition
of the country. Shri Gangwar recalled that
under the visionary leadership and able
guidance of the Prime Minister, various
initiatives have been taken by the Ministry
of Textiles for development of handlooms.
The Minister said that these initiatives are
based on the principles of zero defect (in
fabrics) and zero effect (on environment).
He concluded by expressing the hope that
the handloom sector of India acquires a dis-
tinct reputation at the global stage and that
the industry would play a distinctive role in
national development.
The Governor of Tamil Nadu Dr. K. Ro-
saiah, Union MoS (Road Transport & High-
ways and Shipping) Shri Pon Radhakrishnan
and the Minister of Finance and PWD for
Tamil Nadu Shri O Paneerselvam were also
present on the occasion.
GOVERNMENT NEWS
PM attends first National Handloom Day celebrations
q

12
ASSOCIATION NEWS
TheCotton Textiles Exports Promotion
Council ( TEXPROCIL) has welcomed the in-
clusion of exports of cotton fabrics –both
woven and knitted - to Bangladesh and Sri
Lanka under the Merchandise Exports from
India Scheme ( MEIS) vide Public Notice No.
27 dated July 14, 2015 issued by the Director
General of Foreign Trade (DGFT).
This is a very positive step taken by the
Government as it will increase exports to
these two countries , said Shri R.K.Dalmia
, Chairman of The Cotton Textiles Export
Promotion Council ( TEXPROCIL) . “India
can play a big role by supplying fabrics to
Bangladeshi and Sri Lankan Garment manu-
facturers as India is stronger in fabrics and
Bangladesh & Sri Lanka are stronger in gar-
ment manufacturing” , according to shri
Dalmia .
However, although certain categories
of knitted fabrics have also been included
under the scheme , HS Code 6006 which
covers most of the knitted fabrics including
knitted fabrics with lycra have been left out
inadvertently . Further , knitted fabrics with
lycra are value added products which are
being widely used in garments . According
to the chairman ,TEXPROCIL , if any ben-
efit is granted to fabrics the entire range of
fabrics should be covered under the benefit
to avoid unintended exclusions .
The MEIS has also not included exports
of value added and labour intensive prod-
ucts like cotton dyed and printed fabrics
and made-ups to different African Coun-
tries like Mauritania , Mali, Dar Es Salaam,
Burkina Faso , Guinea Bissaou, Niger, Be-
nin, Angola, Senegal ,Togo, Ghana , Kenya
and Tanzania which is a major blow to the
exporters to the African region ,said Shri
Dalmia . The products which are being
exported includes khangas , khatangasetc
which are used as traditional dresses in Af-
rica and are predominantly manufactured
by units located in the Small & Medium
Enterprises ( SME) sector , pointed out the
Chairman, TEXPROCIL .
Shri Dalmia urged the Government to
include exports of knitted fabrics covered
under HS code 6006 to Bangladesh and Sri
Lanka and exports of value added products
like cotton dyed and printed fabrics and
made-ups to African countries under the
MEIS. These measures will give the much
needed impetus to exports in an otherwise
adverse conditions in major markets .
The predominantly cotton based
textile industry has been facing several
challenges during the recent period owing
to higher tariff rates imposed on Indian tex-
tile products in all the major international
markets when compared to the compet-
ing Nations, undue delay in disbursing the
Technology Upgradation Fund scheme sub-
sidies, volatility and uncertainty in cotton
prices, sudden glut in the synthetic yarn
market, closure of dyeing units in northern
States resulting in accumulation of fabric
stock in different powerloom clusters, etc.
Currently, the spinning sector is having ex-
cess capacity to the tune of 10% due to poor
demand for yarn exports though there are
improvements in the recent months result-
ing in accumulation of yarn stock and liquid-
ity problems.
Under this scenario,
Mr.T.Rajkumar, Chairman, The Southern
India Mills’ Association in a press release is-
sued here today has stated that SIMA will
convene a meeting of the Managing Direc-
tors of its member mills at 3.30 pm on Sat-
urday, 8th August 2015 at SIMA premises
to discuss different problems faced by the
industry and decide the future course of ac-
tion to mitigate the crisis being faced by the
industry.
SIMA convenes member
mills meet to discuss tex-
tile industry issues
TEXPROCIL welcomes inclusion
of exports of cotton fabrics to
Bangladesh and Sri Lanka under
MEIS
CEO of ATDC & IAM Wins
Global Award for Outstand-
ing Contribution to Educa-
tion
World Education Congress (WEC) a
major congregation and platform of Vice
Chancellors and Leading Educationists
from all over the World has conferred the
“Outstanding Contribution to Education
Award” for the year 2015 to Dr.Darlie Koshy,
DG&CEO, ATDC & IAM at the World Educa-
tion Congress & Awards at Taj Lands’ End,
Mumbai.This is an international recognition
given to Dr. Darlie Koshy for his exemplary
role in Leadership, Innovation, Academic
and Industry Interface in the education.
The award was conferred by Mr. De-
bashish Biswas CEO, (CIMA). in the pres-
ence of Dr. C. M. Dwivedi, Dr. R. L Bhatia, Dr.
Aditya Shastri Vice-Chancellor Banasthali
University, Brig (Dr.) Surjit Pabla Vice-Chan-
cellor Mangalayatan University, Prof. R. M.
Zinyemba, Vice-Chancellor Catholic Univer-
sity in Zimbabwe, Prof. Anglelica M. Baylon
External Relations Director, Martime Acad-
emy of Asia and the Pacific –Philippines and
other dignitaries.
This award was given to Dr. Darlie Ko-
shy DG & CEO ATDC and IAM for his out-
standing contribution for Knowledge,skill
development and leadership for the up-
liftment of the society. Dr. Darlie Koshy’s
pioneering contributions to Fashion & De-
sign Education over the last quarter of a
century has been well acknowledged by
the academia, industry and policy makers
alike. A Doctorate from IIT Delhi in Manage-
ment and an MBA from CUSAT, Dr. Koshy
has been also trained at FIT New York in
Fashion Marketing & Merchandising during
1987-88.Dr. Darlie Koshy as the DG & CEO
over the last 5 years (since Nov. 2008) are
spearheading the advancement of an edu-
cation and training Eco-system for Fashion
– Apparel & allied sectors having won “UK-
India Skill Forum Award 2011”, and “ASSO-
CHAM Award” for Best Vocational Insti-
tute 2014 for ATDC & National “Education
Leadership Award” from Dainik Bhaskar
(2013) for Institute of Apparel Management
(IAM).
“I am pleased to know about this sig-
nificant recognition of “Outstanding Con-
tribution to Education 2015” conferred on
me by WEC and accept the award with all
humility and dedicate the same to not only
the teams of different Education Institu-
tions, I’ve had the opportunity to work with
over the last 2 decades which include NIFT
Delhi, NID Ahmedabad and the teams of
ATDC & IAM Gurgaon but also to the stake
holders who have extended support and
cooperation over the years” said Dr. Darlie
Koshy, DG & CEO, ATDC & IAM.
The WORLD EDUCATION CONGRESS
2015 is governed by Global Advisory Coun-
cil which guides the strategic intent of the
congress to its logical success.
q
q
q

13
COVER STORY
New Face of Indian Retail: Bricks Vs Clicks!
R
ecent war between brick & mortar stores & online retail
has changed the face of Indian retail. Retailers are com-
ing up with promotional offers & heavy discounts on
merchandise to lure customers for shopping. “Sale” word is used
every other day. Indian customer is evolved dramatically from buy-
ing books & electronics to buying clothes & other fashion acces-
sories online. In fact fashion is major category having maximum
number of transaction in year 2013. India is expected to generate
$100 billion online retail revenue out of which $35 billion will come
from fashion e-commerce by 2020. According to study conducted
by Accel Partners, online shopping of fashion category is expected
to grow at the whooping rate of 400%.
Online retail has created a great shopping experience for shop-
pers. Customer can now shop sitting at home enjoying his coffee
or his favourite serial episode.Some of benefits like thousands of
brands under one roof, heavy discounts, no long queues, no traf-
fics, easy price comparison, user friendly shopping websites or
apps & easy return policy make online shopping attractive option
over the Brick & Mortar store. One of the best features of online
shopping is you can filter goods on the basis of price range, colors,
brands & categories. You can compare prices on number of shop-
ping portals & avail the best price.
With the growth of online retail, some of the brick & mortal
retail stores have also joined the band wagon to grow their sales.
Madura Fashion & Lifestyle of A V Birla group sells their brands like
Louis Philippe, Allen Solly, Pantaloons, Van Heusen, Peter England
& People through Trendin.com. Raymond has launched online plat-
form RaymondNext.com to sell their brands like Park Avenue, Parx
and ColorPlus. Arvind, one of the country’s oldest textile and ap-
parel brand houses, has launched Creyate, a custom clothing brand
for men and womenthat allows customers to do everything from
the comfort of their homes through online platform. They can de-
sign their own garments and book home visits by Arvind’s style
stewards, who will take measurements and provide consultancy.
-Online shopping portals have offered great platform to small
time manufacturers & start-up brands. They can sell their products
online & have easy access to entire Indian market which was almost
impossible without online retail platform. With the online shopping
portals, it is possible for them to reach maximum target audience
with minimum investment cost & risk factors. The huge cost of in-
frastructure, marketing expenses & manpower has been substan-
tially reduced.
With remarkable growth in purchase made by mobile phones in
past 2 years, next face of the online retail will be “App only” shop-
ping. According to MasterCard Online Shopping Survey 2014, pur-
chases made through mobile phones in India have grown by more
than 100 percent over the past two years. Currently, most of e-tail-
ers have nominated “Websites” as well as “Apps”. But some of
country’s top e-commerce jargons like Flipkart&Myntra have taken
bold step to switch to “App only” shopping portals looking at the
strong potential of mobile phones & tablet based purchase in India.
Many of the other players are soon planning to join the league.
The success of online shopping portals is backed by dedicated
supply chain & technology. The warehouses are the backbones of
the e-commerce industry. Warehouses are virtually mapped out by
software to manage inventories & payments. These companies
are constantly smarting up their hardware, software and storage.
Highly automated warehouses & efficient supply chain manage-
ment help them to meet timely deliveries & create great shopping
experience for customers.
Online shopping portals need to be extra cautious during
“Mega Sale Event” announced by them. Millions of users visit
the shopping website & Apps during such events leading to huge
traffic generation sometimes resulting in overload. The shopper
faces technical glitches like down website, problems in connect-
ing with payment getaway during such times which creates a bad
shopping experience to users. It is necessary to forecast the kind
of response, such events would receive & accordingly planning the
infrastructure to avoid such unpleasant experiences to users.
Growth drivers for online shopping
•Increase in disposable income
Increase in disposable income has definitely increased the num-
ber of times shopper shop now. Online shopping offers convenient
option for shopping.
•Rise in Internet users
IAMAI-KPMG estimates that there will be a total of 500 million
Internet users in India by 2017, up from a current number of about
350 million. Growing Internet users is one the major reasons of
growth of online shopping.
•Growth in Smartphone Users
Increase in number of Smartphone users has further catalyzed
the growth of the online retail in India. In 2014, India had 140 million
smartphone & 2 million tablet users which are expected to reach to
651 million & 18.7 million respectively by 2019 which marks tremen-
dous potential for online retail in India in coming year.
•Increase in number of working women
Working women population has grown in past few years. Busy
life schedule leaves working woman with very less time for house-
hold work & shopping. Online shopping has given great option to
working woman to save her time. In addition to that financial in-
dependency is an added factor for increase in number of woman
shoppers.
•Youth Population
India has world’s largest youth population which is quite open
to try new things & new technologies. Online shopping gives smart
tech-savvy option to this youth population
Shri Avinash Mayekar
MD, Suvin Advisor Pvt. Ltd.

14
•Wide variety
The online shopping portal offers thousands of brands under
one roof so enticing shoppers with huge variety. This is simply im-
possible in case of brick & mortar retail stores.
•Heavy discounts & offers
Whooping discounts & offers make online shopping attractive
to shoppers.
•Extensive Marketing Tools
Digital marketing has given an edge to online shopping portals.
Now it is possible to track the activities of shoppers & their con-
sumer behavior. Innovative marketing campaigns are launched by
online shopping portals to lure customers to shop. They often send
personalized campaigns through SMS, mails or App notifications
giving customers a sense of accountability.
SETBACKS IN ONLINE SHOPPING
•Can’t touch & feel
The major setback in online shopping that merchandise can’t
be felt & touched. Some of the shopping portals try best to display
their product in such a way that it should look almost same in the
product image. In spite of the best efforts, sometimes product has
been found different in finish, quality or color than customer expec-
tations resulting in customer dissatisfaction.
•Fitting problem
Fitting are the most common problem faced by online shop-
pers. Unlike Brick & mortar shops, customer doesn’t have trying
option here, so customers face issues with size & overall fitting of
garments.
•Poor Return Policies
Some online portals do not offer flexible return policies to the
customers. Sometimes the money is not refunded after several fol-
low ups. This results in customer dissatisfaction.
•Missing the fun element of offline shopping
Some shoppers, especially ladies think offline shopping as an
experience. For them, online shopping might feel like missing the
fun element.
Summary
In India, Tier-1 cities are currently occupying big market share
of online shoppers because of convenience of shopping in busy life
schedule. A day is no longer when this boom will spread across the
Tier-2 & Tier- 3 cities. But online shopping boom is themajor con-
cernto many of the country’s retailers & mall operators. Already re-
tailers are noticing the reduction in footfalls in brick & mortar shops
during festive seasons. Shoppers prefer to shop sitting at home
rather than offline shopping. Shopping sites offering consumers
heavy discounts are cutting down the profitability & giving prefer-
ence to market share.
Almost a million of retailers selling online are concerned about
cutthroat margins. This is making them difficult to survive. Some of
the fashion retailers have already noticed the practice of trying the
merchandise in showrooms & buying it online by shoppers because
of heavy discounts. Some fashion brands are showing concern be-
cause their offline business is getting hit and to the extent there is
fear among brands that their image can get hurt if the prices are
too low. On the contrary, online shopping portals are also consid-
ered as a great platform to retailers to cut down their huge infra-
structure cost substantially which can be used more effectively in
marketing of the goods. Also it offers easy reach across the country
by virtual presence. For long term perspective, though E-tail is here
to grow but traditional brick & mortal model will simultaneously
exist as brands can’t afford to discount the products too heavily for
long term because they need to make profit at some point of time!
Few Statistics of India:
•Indian Population : 1.2 billion +
• 52% population below 25 years of age
• 22 languages
• 1700 plus dialects
• Biggest Mid Income in the world.
• Over 150 million mid income households
• Growing consumption from tier 2 & 3 cities
• Over 900 million mobile phone connection
• Over 130 miilion smart phones
• Over 200 miilion internet user
• 1 /120 : Tablet Users
• 1/10 : Mobile internet user
• 1/13 : Social media users
• 1/6 : Internet users
• 73.9 miilion Indians surfed the web via home
or work computer
• 205 million Indian internet user by 2014, ex-
pected 350 million by 2015
• 39% Female , 61% Male
• 137 million from Urban area, 68 million from
Rural area, 58% YOY growth
• In 5 years , Indian Rural market 2X bigger
than urban today
• India’s online population : 75% are under 35
years
• 57 million search for brand related informa-
tion
• 40 million for online review
• Fastest growing web category in India: Ap-
parel , 85 % YOY growth
• USD 20 Billion Size of Indian E-commerce in-
dustry expected by end of 2015.
• E-commerce growing @ 37%
• Online travel constituted 71% of the e-com-
merce market in India, followed by e-tailing
(16%). Travel has grown at a CAGR of 32% over
2009-13.
• e-tailing will be the biggest growth driver,
with expected CAGR of over 60% to $7 billion
in 2016 from $1.7 billion in 2013. Within e-tail-
ing, fashion is likely to be the driving segment.
• Fashion was $559 million in 2013, and esti-
mates peg the growth in fashion e-tailing to
anywhere between $3 billion and $6 billion by
2016.
q
Source : business – standard newspaper
In a report on e-commerce, however, broking firm Motilal Os-
wal says that this is just the start of a multi-year growth for the
e-commerce sector in India. Indian retailers, therefore, do not have
to be too concerned as despite strong growth in USA and China,
e-tailing is still only 5-6% of total retail sales there.
Here are five interesting insights from the report.
1. India is almost 10 years behind China in the e-commerce
space. China’s inflection point was reached in 2005 when its size
was similar to India’s current market size. Thankfully for India the
dynamics currently are similar to what existed in China then – grow-
ing broadband penetration, acceptance of online marketplaces,
Things should be known about industry

15
q
and lack of physical retail infrastructure in many places.
2. Forget the Flipkarts, Snapdeals and Amazons. Travel is where
the real money in India’s e-commerce is. Online travel accounts for
nearly 71% of e-commerce business in India. This business has grown
at a compounded annual growth rate (CAGR) of 32% over 2009-13.
E-tailing, on the other hand, accounts for only 8.7% of organised
retail and a minuscule 0.3% of total retail sales. Even within sales
of physical goods, books are a mere 7% of total book sales, mobile
phones are 2% of all handsets sold, and fashion goods sold online
are just 1%. Online jewellery sales account for only 0.2 per cent of all
jewellery sold. Motilal Oswal, however, expects e-tailing to pick up
with a focus on fashion.
3. Alibaba is an outlier when it comes to margins and making
money in the e-commerce ecosystem. The Chinese company makes
an operating profit of 40% compared to industry standard (US and
China) of 8-10%. Travel sites typically make 2.3%. Amazon, the indus-
try pioneer, is yet to achieve healthy profitability even after two
decades of dominance. Indian players, the report points out, are
not even thinking of profitability yet. It’s a game of market share
and market penetration, causing all serious players to have a war
chest ready for when the industry scales multiple times.
4. For every Rs 100 spent on e-tailing, Rs 35 is spent on support-
ing services like warehousing, payment gateways, and logistics,
among others. Delivery costs a platform owner 8-10% implying sig-
nificant burn. Though 50-60% of delivery logistics today are handled
by large e-tailers themselves, this proportion may reduce going
forward as the participation of lower tier cities picks up. Presently,
aggressive pricing in India is leading to e-tailers making losses on
every segment. For a Rs 100 sale of a book, the e-tailer incurs a loss
of Rs 24, a loss of Rs 13 in mobiles, and Rs 8 in apparel.
5. Demand in India exists across 4,000-5,000 towns and cities,
but there is no significant presence of physical retail in almost 95%
of these. High real estate cost is one of the main reasons why or-
ganised retail is unable to expand at speeds expected earlier. Real
estate as a percentage of sales is 14 times higher than in the US.
For large retailers in India, it is 7% of sales as compared to 0.5% for
Walmart.
Source : Crisil Report on e-tailing
Online retailing shadow over physical retailer financials
The rapid growth of online retail is, in a sense, reflected in the
deteriorating financials of physical retailers over the past 3 years.
At an aggregate level, operating and net margins of companies
such as Shoppers Stop, Cantabil, Kewal Kiran, Provogue, and Trent
have all shown a declining trend. Even operating parameters such
as same-store sales growth, conversion ratio and sales per square
feet have been on a decline. For example, in the case of Shoppers
Stop, sales per square feet have declined from Rs 8,518 in 2010-11 to
Rs 7,837 in 2012-13, while the conversion ratio has come down from
24 per cent to 22 per cent over the same period.
Traditional retailers being forced to move online
To stay in the game, traditional retailers have been working on
their internet strategy. For instance, Shoppers Stop, which started
its online store in 2008, has boosted presence and improved fea-
tures and user interface to bring its online visage on a par with lead-
ing e-commerce websites. The company is also trying to leverage
its physical network by giving customers the option to return prod-
ucts at its stores. Apart from Shoppers Stop, Croma has an online
store with options such as store pickup and cash on delivery. Even
manufacturers of retail products such as Titan Industries (watch-
es, jewellery, eyewear, etc) and Aditya Birla Nuvo (apparel - Allen
Solly, Louis Philippe, Peter England, etc) have set up beachheads
in cyberspace. Going ahead, we believe more and more traditional
retailers will board the online bandwagon.
Ample proof traditional retailers can compete well online
What we are witnessing in India today played out in the US
about a decade-and-a-half back. That was when today’s big daddies
such as eBay and Amazon debuted. In the next 4-5 years, by the
turn of the century, they had become big enough to pose a threat
to traditional retailers such as Wal-Mart, forcing them to come up
with online strategies of their own. Today, after nearly a decade
since the seismic shift began, some traditional retailers boast of a
large online presence.
Similarly, physical retailers in India will have to establish their
presence online quickly. And, with the rightstrategies, they can
even compete effectively. For instance, to tackle the queue prob-
lem at its stores, Wal- Mart allows customers to shop online and
opt for either home delivery or store pick-up. Today, Wal-Mart is
among the top 5 online retailers in the US with estimated revenues
of USD 10 billion in 2013 from the online segment alone. There are
other examples as well, such as BestBuy and Toys“R”Us, which
have developed a significant online presence over the past decade
and are now among the top online retailers in the US.
Financial performance of traditional retailers
UNITS Mar-11 Mar-12 Mar-13
OPERATING INCOME Rs. Million 49325 59767 66036
GROWTH % - 21.2 10.5
OPERATING PROFIT Rs. Million 3027 1603 2001
OPERATING MARGIN % 6.1 2.7 3
NET PROFITS Rs. Million 92.7 290.4 523.8
NET MARGINS % 0.2 0.5 0.8
ROCE % 7.1 4.7 4.8
GEARING times 0.7 0.5 0.6
NET CASH ACCRUALS TO DEBT times 0.05 0.04 0.02
INTREST COVERAGE times 2.3 2.6 2.3
CURRENT RATIO times 1.7 1.4 1.4
Over all retail mareket
in india Rs.25,286 billion in 2012-13
Organised retail Rs. 1.767
billion 7.0% of overall retail
Online retail Rs 139
billion 7.9% of organised retail
0.5% of overall retail
THE COMPARATIVE PICTURE (2012-13)
Note: Companies included in aggregate are Cantabil, Provogue, Ke-
wal Kiran, Trent, and Shoppers Stop
Source: Company reports, CRISIL Research
Financial performance of traditional retailers

16
NOT JUST ANOTHER BRICK IN THE WALL
COVER STORY
Shri Vishnu Govind
Independent Brand Consultant
Business Director - Thinkkloud
O
nline retailing has changed the way brands come closer
to their consumers. While the advent of the ‘click’ is be-
ing felt in the fashion space as well, for brands built on
conventional business models, the ‘brick’ continues to play a signifi-
cant role in their growth stories.In the previous issue, the Fashion
Focus article had covered how the human touch in fashion retailing
has changed from an experience ofthe hand feel of the product to
the use of the latest touch screen devices these days. We also hap-
pened to ‘touch’ upon the fact that exclusive branded stores (EBO)
play a big part in taking the brand story forward.
For fashion brands, each retail channel has its role to play, be
it in business development or in enhancing saliency. In this article,
we dwell on how the EBOs differ from other channels in terms of
the way they serve the brand. EBOs are expensive, both in terms of
operational as well as capital expenditure; yet many brands want to
have them and take a huge amount of pride in their network of ex-
clusive stores. Let us explore the reasons for this a little more here!
EBOs are solid foundations on which retail brands are built. They
enable the brand to showcase a wide range of products that is
normally not possible through multi-branded stores.
The width of merchandise display might vary from one EBO to
theother depending on factors like size of the store, location and
purchase patterns in the catchment market. However, in general,
the inventory levelin an EBO will be significantly higher than that
in an MBO, for that brand, which enables the consumers to expe-
rience the brand in the manner that it is intended to be. Unique
services that the brand wants the customer to experience, like cus-
tomized tailoring, or redemption of reward points, are more easily
achieved in EBOs.
At this stage, we must also take cognizance of the fact that
there are different ways in which EBOs can be managed; depend-
ing on the kind of business engagement the brand gets into with
its channel partner, the franchisee. The classic format of EBOs is
the one in which there is no franchisee involvement, with the own-
ership and operation of the store being in the hands of the com-
pany that owns the brand. Quite naturally, this format, normally
called COCO (Company owned Company operated)enables the
brand owner to control all consumer experience related aspects.
Needless to say, this great power comes with the great responsibil-
ity of keeping the store running in all aspects of operations- with
accountability in terms of product inventory, capital expenditure,
real estate rentals, people and other operational costs. In other
formats that come with a franchisee involvement, like FOFO (Fran-
chisee Owned Franchisee Operated) and other engagement mod-
els, the brand and the franchisee partner each other, in the highs
as well as the lows. In stores where the business partner purchases
the merchandise from the brand, he practically has the final say in
deciding what products the consumer gets to see. In such cases
the brand has limited control over the consumer experience and
completeness of the brand story that is being told. It needs to be
considered that in many such cases, the business partner has great
understanding of the local market and the brand could benefit
immensely from that wisdom. In the eye of the consumer, there
should ideally be not much difference from one model to the other,
though in reality it may quite not be the case.
For now, let us not digress much from the topic into related
areas like types of EBO contracts. EBOs communicate the brand’s
value proposition in a strong and effective manner; they also use
window displays, product placement and other visual merchan-
dising elements to tell a compelling story for the season. The ex-
perience a customer gets will normally be the same from store to
store. Many brands have loyal customers in the sense that a size-
able proportion of business comes from repeat customers. Brands
have loyalty programs that help them track how these customers
have been shopping. With the advent of technology, the level of
data analysis in loyalty programs is much higher than earlier and
this enables brands to send focused promotional communications
to customers. For instance, a menswear brand could communicate
about the arrival of European linen shirts, to a customer who had
shown a propensity in the past to buy linen products. This is just
an example to show the level of data availability, which is easier to
leverage in an EBO network.
Multi-Branded outlets too play a major role in generating sales.
The business partner, called the dealer, purchases the merchandise
from the brand and retails them in a store he runs, along with prod-
ucts from competing brands too. The tendency in this case is for
the store to have a certain level of equity in the consumer’s mind
which is leveraged to provide a good spread of fashion products
across different brands, thereby catering to the requirements of
the target consumers who walk in to the store. Well, in this case
the store kind of becomes the brand, from the point of view of a
purchase decision from the consumer. We would have come across
situations where we, or someone we know, wouldhave bought a
garment and given credit to the store rather than the name of the
product-maker that appears on the garment! The question here is,
did the shirt or trouser sell because it is from brand X? Chances
are that it is not the case. The MBO channel is more profitable for
brands because the store operations and necessary investments
are the responsibility of the dealer, who in turn gets his margin for
the sale of the product. The brand, on the other hand, taps into the
goodwill of a shop in a particular market. Here, we must also under-
stand the fact that there are consumers who like buying products
from a particular brand from an MBO. Hence it would be wrong to
assume that all the sales from EBOs come from loyal consumers
and all the MBO sales come from consumers who do not relate to
the brand. The skew, however, is in that direction.
The third channel, called Large Format Stores (LFS) are big
department stores where the consumer gets to see a very high
number of brands on display. They offer sophisticated and modern
shopping environments in comparison with MBOs and an oppor-
tunity to shop from a wider spectrum of brands.The format also

17
sees the presence of a large number of private labels that do not
retail outside the network of the chain. These private labels enable
the LFS chains to get higher profitability and therefore earn better
returns on space too. The brands normally do not get to showcase
a wide range of merchandise as they do in EBOs, and often the de-
cision of which products of a specific brand is made available to
the consumers, is taken by the buyers from these LFS chains. This
channel also enables a brand to see how they measure up against
competition, before embarking on a capital-intensive EBO-driven
approach.
From the point of view of a brand, it could possibly fulfill differ-
ent needs of a consumer, in terms of offering clothing for different
occasions, projecting a certain personality, a certain mood as well
asother lifestyle aspects. It could, therefore, draw a line in terms
of what all customer groups it wants to serve and what all needs
of each group it intends to cater to. The EBO channel becomes
the perfect route to showcase this; in fact not all EBOs will cater to
all customer groups. Brands can have different retail formats, each
having its own role within the brand architecture.
So we have now seen that EBOs have an important role to
play in the marketing mix of a brand. Brands go to a large extent
to sustain them; often accommodating loss-making stores for the
sheer image value they bring to the brand. Retail rentals pose seri-
ous challenges to brands and often we see that even stores with
reasonable footfall levels will struggle to break even. Retail loca-
tions like Khan Market in Delhi and Linking Road in Mumbai are very
expensive for brands, yet many of them retain stores there for the
prestige associated with them. Retail profitability is therefore an
important item on the annual agenda of fashion brands.
I like keeping things simple. So while talking about retail profit-
ability, let’s try to reduce jargons as much as possible. How do we
make a retail network more profitable? We can achieve it by selling
more or by incurring less expenses- or better still, a combination of
both. Given a certain cost structure involved in showing the aura
of a brand in a store, one that would have become optimized over
time, the benefits of a sales upside is always an area of prime focus
for brands. How can you sell more in an EBO? While pages can be
written as we attempt to answer this seemingly innocuous ques-
tion, in keeping with the plan to not complicate things, we can say
that we could increase sales by two means
i) Sell more to existing consumers
ii) Sell to more consumers
Sometimessimplicityisincontrovertible,right?Letustakethese
two challenges separately and see how they can be tackled. First,
on selling more to existing consumers- the big tool here is the cus-
tomer database which brands have, irrespective of whether there
is an organized loyalty program or not. For existing customers,
brands could track parameters like total purchase value in a time
period, average purchase in a visit, specific products purchased, or
not purchased etc. Store Managers and selling staff are trained on
cross selling so as to increase the ticket size, like suggesting a pair
of matching trousers to a customer who has just bought a shirt.
Once a customer has established a preference for a brand, be it
because of its designs, fits or just the brand value, it becomes easier
for the salesperson on the floor to suggest other products that he
might like, this comes from good customer service standards and
understanding of his needs.
On the other hand, getting more consumers involves casting
out a wider net; this could bring into play a combination of push
and pull strategies. Advertising campaigns on media create aspira-
tion and tend to cater to the needs of the brand across wider geog-
raphies and not necessarily to specific stores. This could be backed
up by localized customer acquisition initiatives that may or may not
involve discounts and other deals for the customer. Brands need
to continuously add new customers to sustain growths year after
year; for there will always be lapsed customers for various reasons.
There is a significant role that impulse plays in purchase decisions
in this category and the retail landscape is in a state of continuous
metamorphosis.
Fashion brands with a mature EBO network constantly track pa-
rameters that give an idea of how the stores are performing. While
the terminologies and indices used by different companies could
vary from the simple to the complex, here are a few that, for obvi-
ous reasons, are important to track.
- Number of customers who walk in
- Conversion rate that shows what percentage of
customers who walk in, actually make a purchase
- Sales per square feet (per day/year etc.)
- Ratio of rent to revenue
- Sales to inventory ratio
- Average transaction value
At a slightly more evolved level, there are parameters that track
Gross Margin return on footage, investment etc.
We have explored, in this article, the dynamics of the interplay
among the brick and mortar channels with a bit of added focus on
EBOs. While a few years back, brands typically looked at breaking
up the sales goals into three significant channels- EBO, MBO and
LFS, the change now is that e-commerce is not just a tick mark in
the sheet. Brands have begun to see it as a channel that holds po-
tential for sales. There was a point of time when having a website
with a payment gateway was seen as a ‘nice to do’ thing. With the
online retailing space evolving fast, brands are now looking to find
presence there and get additional business, including having their
own store on the web.
EBOs play a big role in building stature for a brand, which trig-
gers sales in different channels, including e-commerce. Don’t we
feel better about buying a reputed brand online, than an unknown
entity? Brands need to be flexible in adapting to the changing en-
vironment around us. There is a growing market out there with a
huge opportunity,the brands that adapt fast will do well, and those
who do not, will not. In fact, an online presence that is not up to
speed with the changes around, exposes a brand. On the other
hand, an innovation gets applauded too.
While the discussions on the impact of online retailing often
take the shape of a Brick vs. Click debate, we should acknowledge
the fact that both have their respective roles to play in driving a
brand. The clicks are growing at a fast pace, even as the brick con-
tinues to click with the customer. Fair to say, the click is, in fact, a
very important brick in the wall of the edifice, built on the strong
bedrock called the EBO network. q
Whatever the cost of our libraries, the price is cheap compared to
that of an ignorant nation.―
Walter Cronkite
‘‘ ”

18
INTERVIEW
Mr. Mohit Dhanjal
Retail Director, Raymond LTD.
Raymond Group is one of India’s largest branded fabric and
fashion retailers. The Group owns apparel brands like Raymond
Ready to Wear, Park Avenue, Park Avenue Woman ColorPlus &Parx.
All the brands are retailed through ‘The Raymond Shop’– One of
the largest networks of over 720 retail shops spread across India
and overseas, in over 35 cities, apart from Exclusive Brand Outlets
as well as Large Format Stores such as Shoppers Stop, Lifestyle,
Central, etc..The Raymond Shop is a premium retail store offering
complete wardrobe solutions for men and has been a pioneer in
organized retailing in the country starting around five decades ago.
TVC INTERVIEWED MR.MOHIT DHANJAL WHO IS THE RETAIL
DIRECTOR AT RAYMOND LTD.
TVC : What has been the trend of consumption of fabrics and
garments in the past 5 years?
MD : As per market and industry data:
• Total Indian apparel market in 2014 is approximately INR
2,48,700Crores (USD 41 billion) and the market is growing at 9%
peryear.
• Around 20% of the market is ready-to-stitch and rest 80% is ready-
to-wear market.
• Total e-tailing market in India is USD 2.3 billion as of 2014 and ap-
parel and lifestyle [includes category like apparel, footwear, acces-
sories (bags, belts, wallets) watches, eyewear, personal care, jew-
ellery, etc.] account for 30% of the total e-tailing market which is
USD 0.69 billion.
TVC : Do you think consumers postpone fabric and garment pur-
chases in the years of high consumer prices and purchase more
when prices have reduced?
MD:Raymond is an aspirational brand and its products are gen-
erally sold at full price. Consumers purchase our products as they
aspire to wear quality products. We offer discounts in particular
seasons but never reduce price asa discounting strategy. On in-
tegrated platforms, discountsare given byplatform owners and
not by our company. Price is nothing but a value proposition. At X
price, X value will be given, that price then gives value to consumer
whether to buy or not. With right price, right quality needs to be
given.
TVC : We learn that some leading mills and garment manufac-
turers are starting their own platform to sell their products. Do
you think this trend will remain confined to top companies in the
field?
MD : For companies already having Brick and Mortar stores, it
makes sense for them to develop an Omni-channel strategy there-
by integrating Online and offline channels into a seamless retail
solution. Consumers then have a choice of ordering Online and get-
ting products delivered to their desired location directly or from
one of the brand’s neighbourhood stores.
Raymond has always had a presence in the Brick and Mortar
model which provides ambience and impeccable service to itscon-
sumer. Conversation of sale is not easy in this competitive world
and personal touch, custom tailoring and other value added ser-
vices go a long way in creating a trustworthy brand with loyal cus-
tomers. Raymond has 720 stores in 350+ cities. Physical presence
makes a huge difference giving consumer confidence that their
needs and wants are understood and taken care of by sales repre-
sentatives/ company and also gives them home-like feeling. It also
builds trust with the consumer where they know that the shop will
not be closed overnight.
Sooner or later, companies having physical presence will start
their own online e-com website. Studies in USA also show that
Brick model along with Online model works quite well. Companies
who do not have physical presence, for them integrated platform
is the best source to reach customers. But that also needs brand
awareness, so they take time to sell. It is not viable for them to cre-
ate their ownwebsite and sell as they need lot of marketing to drive
traffic. Many sales aggregated sites(snapdeal, flipkart, myntraetc)
are working better than company direct websites but they also cre-
ate that platform by aggressive marketing, persistent advertising
and relentlesspromotion for driving traffic to their websites.
TVC : What is the ideal system of retailing from the point of
view of manufacturers and from the angle of consumers?
MD : There are no different angles; they are 2 sides of the same
coin. Manufactures have to think as per consumer, as it is a con-
sumer centric economy and not manufacturing centric economy.
We need to think how we can give wider services and product port-
folio to consumers. E-tailing increases consumption, as in discount-
ing scenario consumer tends to buy more with bundle packages
offered by e-tailing. Therefore consumption is growing with the
onset of Online
TVC : Do you think products like fabrics or garments or home
textiles are sold on strength of their feel, drape and fibre composi-
tion whereas price and mortar model scores over the rest?
MD : Fabricsand garments mostlyget sold on look, feel, drape,
colour and design/fit. Raymond is the leader in woollen fabricsin In-
dia. Fashion conscious consumers aspire to try different fibresthat
areavailableglobally. We commercially launched Linen with a dis-
tinctive Raymond style, with excellent & superior quality.
Consumers don’t really care about fibre composition and its
percentage. They mostly care about feel, colourand price. Fibre-
composition is nothing butatechnical quality of a fabric. Eg. Poly-
wool % written on alabel of a garment; still they will prefer the look
and its feel no matter what the percentage is. Description of fibre
composition for online retailers makes a little difference as con-
sumersimagine how it feels and try to understand the texture after
reading the composition. As an industry it is our responsibility to
teach consumers about different fibres; their blends and benefits.
Manyfibre companies now talk about fibres as brands for retail pur-
poses to create awareness. Eg. Cotton USA for cotton fibre, LIVA
for viscose fibre, Woolmark for woollen fibre, Lycra for Spandex
fibre, etc. q

19
Shoppers Stop offers retail and online shopping experiences of
unparalleled assortment of the leading international and national
brands in men’s clothing, women’s apparel and kids clothes; gifts
and fashion accessories like ladies watches, men’s watches, artifi-
cial jewelry, fine jewelry, handbags, fragrances, cosmetics, men’s
footwear, women’s footwear, home furnishing and decor prod-
ucts. Their customer centricity and relentless pursuit to set new
benchmarks in retail has made them the leading chain of depart-
ment stores in India.
TVC recently interviewed MR. GOVIND SHRIKHANDE, MD,
SHOPPERS STOP to discuss retail marketing trends.
TVC : What has been the trend of consumption of fabrics and
garments in India?
GS : Apparel demand has been growing at 15 % + CAGR for the
last five years.
TVC : Do you think consumers postpone fabric and garment
purchases in the years of high consumer prices and purchase more
GS : As we do not sell fabrics, we cannot see the down grading.
However, we have been launching higher end brands every year
and the response has been excellent. So I feel it doesn’t matter
much because if the consumer needs something they will buy no
matter what.
TVC : There is a fundamental shake up in retail marketing.
Apart from brick and mortar stores, e-retailing has captured con-
sumers because of competitive prices and heavy discounts. In e-
retailing also, there are various models, some are software com-
panies, providing a platform to manufacturer/supplier to sell their
products. Some hold stocks in their name. There is a problem of
taxation in some cases. Will you kindly give your views on differ-
ent models?
GS : E-com is currently categorized into 3 Models:Pure
Play (A company that invests its resources in only one line of
business),Market Place (Sellers do not directly interact nor ship
goods directly to buyers) and Multichannel or Omnichannel.The
models and players are evolving at a breakneck speed. But funda-
mentally, a large amount of disruption is happening in the last 12
months due to disproportionate discounting and advertising. This
is being backed by large PE funding to key market places.
field?
GS : There will be a place for a lot of new players. Eventually the
best will survive, similar to the best players and best malls.
GS : Seamless Omni Channel Retailing is the trend for the fu-
ture.It is basically the use of a variety of channels in a customer’s
shopping experience including research before a purchase. Such
channels include: retail stores, online stores, mobile stores, mobile
app stores, telephone sales and any other method of transacting
with a customer.
TVC : Do you think product like fabrics or garments or home
GS : Global retail is approximately 15 Trillion + USD. Today just
about 7% of this business is coming out of On Line. Even 5 years
down the line 85% plus business will be done by Physical Retail, so
brick retailers do not need to worry about their death. They need
to offer more excitement, competency and experience to continue
winning.
B.S.Nagesh is one of the pioneers of modern retail and has
more than 32 years of experience in retail. He founded TRRAIN
(Trust for Retailers and Retail Associates of India) with the vision
of empowering people in retail and relentlessly works to achieve
immediate and lasting change in the lives of retail associates in
India.
INTERVIEW WITH MR. B. S. NAGESH
TVC: : Do you think consumers postpone fabric and garment
purchases in the years of high consumer prices and purchase more
B.S.:Not necessarily. Price and value has become an important
Mr. B. S. Nagesh
Founder, TRRAIN
INTERVIEW
INTERVIEW
Mr. Govind Shrikhande
MD, Shoppers Stop
q

20
part of any purchase decision, therefore certain kind of consumers
buy only during EOSS (End of Season Sales) and discounted mer-
chandise during online sale. On the other hand there are customers
who are looking at convenience and experience and therefore their
purchases will be based on their needs rather than the retailers’
price offering or inflation.
TVC : The present cloth and garment production in the country
is US $ 120 billion worth, of which exports are US $ 40 billion and
domestic consumption is US $ 80 billion. What do you expect do-
mestic consumption to be by 2015?
B.S : The data for 2015 is not currently available. However
I believe the apparel market will grow between 7-10% year on
year,partly due to better penetration of retail in the tier 3 & 4 cities
and up-gradation of wardrobe due to improving lifestyles and aspi-
rations of the Indian consumers.
TVC : There is a fundamental shake up in retail marketing.
Apart from brick and mortar stores, e-retailing has captured con-
sumers because of competitive prices and carrots like heavy dis-
count. In e-retailing also, there are various models, some are soft-
ware companies, providing a platform to manufacturer/supplier
to sell their products. Some hold stocks in their name. There is a
problem of taxation in some cases. Will you kindly give your views
on different models?
B.S. : Online business is aligned to what is happening in the life
of the consumer, therefore it is here to stay and that too for ever.
However each of the models existing can be questioned from dif-
ferent angles especially from compliance as far as the FDI laws are
concerned as well as the operating models in terms of discounting
in the market place. If the GOI does not create a level playing field
for offline and online retailers,we will see the small traders and the
modern retail being hit over a period of time which is not healthy
for the Indian businesses.
field?
B.S.: No,every brand owner will have to be connected to its con-
sumers 24X7 and therefore you will find them connected through
multi-channel including online/offline catalogue, etc. and also work
on their own or through market places and different technology
providers.
B.S.: The ideal system from consumer end is to be able to shop
whenever they want, from wherever they want at their fingertips.
Manufacturers have no option but to align themselves with the
consumer needs. However each brand/manufacturer should know
their consumers and act accordingly.
TVC : Do you think product like fabrics or garments or home
B.S.: Fashion is sold on the basis of the look and how they can
make the consumer feel good about one. Feel and drape are im-
portant and value is very critical,however I do not think consumer
understands composition.
Shoppers Stop & BCCL sign strategic partnership
Shoppers Stop, India’s leading fashion retailer and Bennett,
Coleman & Co. Ltd. (BCCL), one of India’s leading multimedia
groups, today announced a strategic partnership to extend Femina,
one of BCCL’s flagship brands, into the consumer products space.
As part of this unique ‘co-create and co-own’ partnership, BCCL will
license ‘Femina FLAUNT’ to Shoppers Stop, to design, develop, and
retail the brand, exclusively across Shoppers Stop stores, in the
core fashion categories – apparel, footwear, accessories and bags.
FLAUNT is the retail identity developed by BCCL for Femina.
Commenting on the partnership, Mr. Vineet Jain, Managing Di-
rector – BCCL, said, “This is in line with our brand extension strat-
egy to partner with the best-in-class players to unlock immense
hidden value in many of our marquee brands. As a group, we’ve
always been ahead on the innovation curve, and this partnership is
another such example.”
Mr. Govind Shrikhande, Customer Care Associate & Managing
Director, Shoppers Stop Ltd. added, “In line with our brand phi-
losophy of ‘Start Something New’, we have embarked on a new
partnership with the BCCL group to launch ‘Femina FLAUNT’ in
our stores. The premium positioning of this brand fits seamlessly
into our diverse portfolio of premium brands. We are positive that
‘Femina FLAUNT’ will be a huge success with our discerning cus-
tomers.”
Speaking on the development, Mr. Sandeep Dahiya, Direc-
tor & business head – Brand Extension, BCCL, said, “It’s a unique
partnership that brings together complementing strengths from
two formidable industry leaders, in a format that’s a win-win for
Shoppers Stop to ‘FLAUNT’ Femina
both. With Shoppers Stop as the partner, we’re confident of stabil-
ity, sustainability and most importantly, scalability of our brand, in
these categories.”
The ‘Femina FLAUNT’ range will be retailed exclusively through
300-400 sq feet of dedicated shop-in-shop space, within Shoppers
Stop stores. The range will be launched in the Fall-Winter season
this year, and will be available across 20 Shoppers Stop stores to
begin with, and going upto 50 stores by year-3.
Mr. Salil Nair, Customer Care Associate & Chief Executive Of-
ficer, Shoppers Stop Ltd., commented, “We are happy to be the ex-
clusive retailer partners for BCCL’s new venture ‘Femina FLAUNT’.
Our partnership with BCCL bears testimony to our efforts to con-
sistently offer fresh, exclusive and unique brands to our customers.
With FLAUNT, our customers will have an additional choice in the
aspirational women’s wear segment.”
Highlighting the uniqueness of the partnership, Mr. Dahiya
further added, “This partnership re-formats the existing licensing
template in India, by creating a unique ‘co-create, co-own’ model
that creates far more value at both ends. It not only gives Shoppers
Stop a great opportunity to add one more strong franchise to its
portfolio of premium labels, but also helps BCCL unlock significant
value in its marquee brand, while still retaining the ownership of
the brand.”
‘Femina FLAUNT’ range is being developed for the premium
space, targeting today’s urban, independent, progressive and dis-
cerning woman, who is 25-35 yrs old, working and residing in the
top 25 cities.
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21
T
he United States and international partners have signed a
historic agreement with Iran on its nuclear program, but
they still face important choices about just how far to go
in allowing Iran back into the global economy. In the short term,
U.S. companies will be limited in their ability to join the corporate
march back to Iran when sanctions are lifted, and many in the West
who have advocated for Iran’s isolation for decades do not want
to see their nations’ companies and banks participate in Iran’s eco-
nomic reintegration. Keeping Western companies on the sidelines,
however, would be a strategic mistake. Allowing—or even encour-
aging—Western companies to invest in Iran provides Tehran with
incentives to abide by the deal and gives Washington more advan-
tage over Iran in the future.
The new nuclear accord lays out a path for international com-
panies to initiate broad new trading and investment activities once
Iran meets key nuclear commitments. For the private sector, this
relaxation presents significant opportunities as well as a minefield
of commercial risks. The sanctions on Iran for state-sponsored ter-
rorism, regional destabilization, and human rights violations will
remain in place.
Investors thus face tremendous uncertainty in balancing an
emerging market opportunity with the potential for expensive,
damaging business losses if they inadvertently violate remaining
sanctions. Over the past few years, regulators in the United States
have already imposed billions of dollars in fines against Western
companies for violating sanctions, even when they have done so
unintentionally. This precedent might lead many European and
Asian businesses to conclude that Iran’s potential financial rewards
are simply not worth the risks. U.S. corporations are even more
cautious. For many global companies and banks, hanging back will
be the easiest and safest course of action.
U.S. policymakers should take a strategic approach to Iranian
sanctions relief and encourage the international business commu-
nity to pursue commerce in the nation. It is not the United States’
job to rehabilitate the Iranian economy, of course, but clarifying the
legal pathways toward Western investment in Iran is an important
and necessary task. Doing so will increase Washington’s credibility
as a good-faith actor, strengthen the nuclear deal, and, most impor-
tant, provide future economic advantage with Iran. Clarifying the
new rules for would-be investors would also limit Iran’s ability to
claim that the United States has violated the agreement by stymie-
ing much-needed relief.
Likewise, streamlining Iranian investment policy will also pres-
sure Tehran into becoming a better financial hub. Iran’s financial
system has been black listed for its lack of integrity, and it received
a horrendous report card from the Financial Action Task Force, the
preeminent global standard-setting body against money launder-
ing and terrorism financing. Western companies can begin business
activities in Iran once sanctions are lifted, and this can provide an
effective form of commercial diplomacy. Iran will have to acceler-
New Business Opportunity in Iran
ate its nascent efforts to reduce corruption and illicit financing if it
is to make deals with the reputable international companies it is
courting.
Opening financial channels between the West and Tehran may
mitigate—although not remove—concerns that Iran could use a
revitalized economy to increase its support of terrorism and desta-
bilization throughout the Middle East. If the country’s economic
institutions have a financial interest in being responsible actors
within the global economy and international financial system, they
will be less likely to participate in illicit activities.
There is also a strategic advantage for the West in having a
broad array of international companies operating within the Irani-
an energy, infrastructure, and manufacturing markets. U.S. policy-
makers should ensure that Western companies receive equal foot-
ing with their Chinese and Middle Eastern counterparts, who will be
quick to enter Iran once sanctions are relaxed. This will help ensure
that Iran’s new commercial relationships do not pivot exclusively
to Asia.
Facilitating U.S. and European commercial investments in Iran
should involve three key components. First, U.S. President Barack
Obama has to instruct U.S. regulators to provide the private sector
with detailed guidelines on how to do business in the country. The
U.S. Treasury Department has offered little guidance for companies
on how to navigate Iranian sanctions in the past—what it has of-
fered was often vague, contradictory, and not legally binding. If the
Treasury Department provides inadequate guidance, companies
will be unable to navigate a broad rollback of the most complicated
sanctions regime in history.
Second, the U.S. government must establish a better, insti-
tutionalized system to engage with the business community. To
do so, the Treasury Department should create a dedicated “Iran
sanctions” hot line, host monthly public meetings with the busi-
ness community, and release legal opinions and specific licenses
for permitted activity with Iran. This will go a long way to make
clear which types of activities Washington will and will not support,
thereby allowing the business community to begin working within
Tehran sooner.
Third, the Treasury Department should allow U.S. companies
to engage in targeted investment in Iran by expanding the issu-
ance of general licenses. As demonstrated by the recent relaxation
of certain Cuban sanctions, general licenses can allow U.S. banks
and investors to fund development in Iran—thereby empowering
the nation’s youth, entrepreneurs, and civil society through new
projects and businesses.
This approach could, in turn, help advance U.S. interests by pro-
moting positive changes in Iran. Moreover, a connection between
Iran and Western business sectors will provide essential economic
leverage in the future. If the nuclear deal breaks down, U.S. policy-
makers will be best positioned to impose punishing new sanctions
if large sums of foreign investment are at stake.
Shri Arvind Sinha
CEO, Business Advisors Group
National President , TAI
GLOBAL FOCUS

22
Implementing any deal would be fraught with challenges.
However, if the United States is to uphold credible nuclear diplo-
macy with Iran, it will need to chart a clear course for the private
sector to navigate the changing landscape of sanctions. Promoting
the return of European and U.S. business in Iran is a smart new way
to advance U.S. interests within the country.
Prime Minister Modi’s revival of the decades-old suggestion,
while on a visit to Turkmenistan ahead of the Iran deal, is interest-
ing. He pitched for an Iran-Oman-India undersea pipeline, which
would also carry Turkmen gas. Parviz Aghili, founder of Middle East
Bank was in India recently to meet industrialists for possible deals.
This is the kind of line, we need to pursue urgently, as China and
western corporate giants begin to line up for business in Iran. Even
American companies would like to do business in Iran. Competition
will increase with time and it makes good sense to pitch in early.
Chinese and Russians already have an effective presence in Iran.
With China getting increasingly involved in Afghanistan, it would
seem that China now has an additional route to Iran and the Per-
sian Gulf apart from the Turkmenistan route. US would not want to
leave the field open and uncontested to these two in this vital area.
The US Defence Secretary visited Israel and Saudi Arabia to re-
assure them of continues US support. It is not yet certain it this
apparent turn about by the US on Iran after decades of hostility is
going to be accepted easily by these two long- term allies of the US.
For India, the evolving situation is a challenge and an opportuni-
ty to bypass Pakistan to gain access to Central Asia. We will have to
be consistent, quick-footed and have the stamina for the long race.
LANXESS, the global specialty chemicals company, is address-
ing officials from textile industries, effluent treatment plants and
others from the Tiruppur region on ‘textile effluents recycling us-
ing ion exchange resins and membranes’. The seminar, held at The
Velan Hotels in Tiruppur, by the LANXESS business unit Liquid Pu-
rification Technologies, is aimed at offering potential solutions for
effluent treatment and waste water recycling in the region.
LANXESS water treatment solutions, consisting of ion ex-
change resins and reverse osmosis (RO) membranes, are specially
suited for processing the effluents generated from the several tex-
tile industries and leather tanneries in the region. Such LANXESS
solutions also help industries to meet the increasingly stringent
regulations with regard to environmental compliance.
Prakash Shanmugam, Head of Business Unit Liquid Purification
Technologies, LANXESS India, said on the occasion, “We will be
glad to help industries in Tiruppur meet their objectives with re-
gard to waste water/ effluent treatment and offer them tailor-made
solutions using our ion exchange resins and RO membranes.We are
confident that Lewabrane® RO membrane elements, in combina-
tion with our Lewatit® ion exchange resins,can provide answers to
all water and wastewater treatment needs.”
At the seminar, LANXESS is also showcasing a few grades of
ion exchange resins suitable for applications like high TDS (total
dissolved solids) water softening and colour /organic removal. In
addition, attendees (potential customers) will also have a chance
to see the spiral-wound membrane elements used for sea water or
brackish water desalination.
The family of membranes encompasses a wide range of reverse
osmosis (RO), which were specially developed for sea water desali-
nation. LANXESS is producing the reverse osmosis elements at its
plant in Bitterfeld, Germany which has been operational since 2011.
With regard to cleaning of industrial wastewater, the remov-
al of toxic, ionic and non-ionic substances is of key importance.
LANXESS has a range of special Lewatit® ion exchange and adsorb-
er resins that are able to remove many types of heavy metal ions
and organic pollutants. Due to the high selectivity of the resin,
extremely low concentrations are economically achievable,
thereby ensuring that only contaminant free water is released in
the environment. Some of the specific applications that could be
relevant to effluent treatment industries are – selective removal of
fluorides, arsenic, iron and hexavalent chromefrom groundwater
and industrial waste water.
LANXESS is one of the few companies that offer both ion ex-
change resins and reverse osmosis membrane elements – two
different yet complementary water treatment technologies, thus
making it the right partner for a range of industries seeking wa-
ter and wastewater treatment solutions. The company also has a
manufacturing unit for ion exchange resins at its site in Jhagadia
in Gujarat and along with its excellent technical support, it is well-
placed to meet the rapidly growing domestic demand as well as
that of the overseas markets.
LANXESS water treatment solutions well-positioned to meet the
effluent treatment demands of industries in Tiruppur
Although at the epicenter of the Dubai textile scene, the ITF is
sending ripples not only in the Middle East, but across the world
too. The October edition might be 12 weeks away, yet the anticipa-
tion surrounding it is already discernible. With the ITF newsletter
providing an in-depth reasoning behind their philosophy and the
social media channels sparking off the razzmatazz, one would be
forgiven to believe that the ITF has already begun.
Not content with its diligent social media presence, the ITF has
also incorporated newsletters and e-shots into its digital campaign.
The newsletters, featuring interviews with prominent international
exhibitors, seem like compact trade reports in themselves; lead-
ing company executives provide a valuable insight about local and
foreign markets. Catching up with the exhibitors and tracking their
achievements, the “ITF NEWS” tab presents detailed exhibitor pro-
files.
The e –shots have emerged as a viable pre-cursor to the fair
itself; bridging the gap between the fair’s April edition and the up-
coming edition.
With the majority of exhibitors hailing from Europe and the
Middle East, the ITF is slowly gaining foothold in Western Asia too;
UrgandhBahmal (Uzbekistan) and Safir Textile (Turkey) recently
confirmed their presence at the October edition of the ITF.
Between hosting more exhibitors to increasing audience band-
width, it is clearly evident that the ITF is a step closer to its aim of
“achieving textile versatility.” The fair is poised for further growth,
but for Dilip Nihalani (Managing Director, ITF) the focus invariably
remains the same. He explains, “At ITF, we strive to provide a pro-
fessional atmosphere conducive to business and networking; and
acknowledging U.A.E’s rise as the leading industry for textile indus-
try automation.”
International Textile Fair Dubai, U.A.E.
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Abstract
The ring spinning machine will continue to be the most widely
used spinning process in short staple spinning .The spinning geom-
etry is a critical aspect in the spinning process of staple yarn. The
spinning geometry influences the distribution of fiber tension in
the spinning triangle, twist insertion rate in the yarn, binding-in of
fibers, the properties of spun yarns, tension in yarn and the perfor-
mance of the machine.
The spinning geometry represents the dimensions between the
elements of the ring spinning machine which are comes in the path
of yarn formation and also the inclinations of elements as well as in-
clination of the yarn with respect to the parts of the machine. Thus
in this paper, different aspects of spinning geometry, influence of
the parts of the ring spinning machine on the resultant yarn proper-
ties and performance of the ring spinning machine are discussed.
Key words: Ring spinning, spinning geometry, spinning trian-
gle, fiber tension distribution, balloon control ring, balloon height,
deflection angle.
1. Introduction
The invention of ring spinning machine was done by an Amer-
ican Mr. Thorp in 1828. In that ring spinning machine the modifi-
cation and implementation of Ring & Traveller elements done by
another American Mr. Jenk in 1830. At today’s scenario more than
170 years Ring Spinning has undergone considerable modifications.
Evolution of the ring spinning machine is not yet completed.
The ring spinning machine will continue to be the most widely
used spinning process in short staple spinning because of it can be
used universally, Produces yarn with optimum properties, uncom-
plicated and easy to control, flexible with regard to volume (blend
and batch sizes). In the ring spinning machine the spinning geom-
etry plays an important role regarding quality of yarn and perfor-
mance of machine. [1]
Definition
Fiber strand passes through the drafting arrangement, thread
guide, balloon control ring and traveller. These parts are arranged
at various angles and distances relative to one another, which give
varying deflections and paths of travel for the yarn. The set of di-
mensions, guiding and leading angles, of the machine elements
with each other on ring frame machine which are together referred
as the spinning geometry. [2]
2. Spinning Geometry
Spinning geometry is a geometrical representation of a ring
frame machine elements with respect to formation of yarn. Spin-
ning geometry has a significant influence on the spinning operation
and the resulting yarn, primarily upon, tension conditions on fibers
and yarn, binding-in of the fiber, number of end breaks, yarn hairi-
ness, yarn irregularity and generation of fly etc. Spinning geometry
is optimization decisive factor for machinery manufacturers. How-
ever, it has to be borne in mind here that changing a spinning ge-
ometry parameter inevitably entails a change in all other geometry
parameters
It is therefore an absolutely essential set of parameters to be
the machine builder. Within the spinning geometry; the following
aspects have to be considered. [2]
• The Spinning Triangle
• The Balloon Height
• Roller Overhang
• Drafting arrangement inclination
• Wrap of the yarn on the thread guide
3. Spinning Triangle
The turns of twist in a yarn are generated at the traveller and
travel against the direction of yarn movement to the drafting ar-
rangement. Twist must run back as close as possible to the nip line
of the rollers, but it never penetrates completely to the nip because,
after leaving the rollers, the fibers first have to be diverted inward
and wrapped around each other. Accordingly, at the exit from the
rollers there is always a triangular bundle of fibers without twist,
the so-called spinning triangle. By far the most end breaks originate
at this weak point, because the yarn tension in the balloon cannot
be transmitted almost without hindrance as far as the drafting ar-
rangement, whereas twist in the spinning triangle is zero-nor does
it attain its full value in the adjoining yarn section either, because of
friction at the thread guide.
The length of the spinning triangle depends upon the spin-
ning geometry and upon the twist level in the yarn. As can be ap-
preciated from the immediately foregoing remarks, a short trian-
gle represents a small weak point and hence fewer end breaks. As
usual, however, advantages have to be weighed against disadvan-
tages.
If the spinning triangle is too short, then the fibers on the edge
must be strongly deflected to bind them in. This is not possible with
all fibers. Some edge fibers escape the twist effect and are lost as
fly. Other may be bound-in, but at one end only; one fiber end them
projects from the body of the yarn, which is therefore hairy.
On the other hand, a long spinning triangle implies a long weak
point and hence more ends breaks. However, a resultant advan-
tage is that the edge fibers are better bound into the edge fibers
are better bound into the yarn, which gives a smoother yarn and
less fly. [2]
Spinning Geometry of Ring Spinning Machine
Mr. Akash S. Bansode
TECHNICAL ARTICAL
Research Scholar,
D. K. T. E. Society’s Textile & Engineering
Institute, Ichalkaranji.
Figure.2 – Spinning Triangle

24
3.1 Spinning Triangle in Compact Ring Spinning:
In the enlarged view of ring spun yarn is examined, it is easy
to see that the integration of many fibres is poor, and they there-
fore make no contribution to yarn strength as shown in Figure 3. In
other words, if all fibres could be completely integrated in the yarn,
both strength and elongation could in turn be further enhanced.
It is thus obvious that even ring-spun yarns are not yet ideal as re-
gards yarn structure. [5]
The development of the compact spinning process began with
the desire to achieve a significant improvement in yarn quality by
influencing the spinning triangle Figure 3. The process is focused
on achieving higher yarn strength and a reduction of yarn hairiness,
especially on eliminating the longer hairs, which have a particularly
bad influence on the further process. The improvement achieved is
shown in the Figure 3.
The Fig. 4(a) displays the fibre triangle at the exit of a conven-
tional ring frame drafting system. The twist imparted by the spindle
cannot flow up to the clamping line. The outer fibres spread out
and are thus more highly tensioned than those on the inside. The
Fig. 4(b) does not show a spinning triangle. The yarn twist flows
right up to the clamping line. The yarn is round and smooth. To
achieve tenacity comparable with conventional ring-spun yarns, a
lower number of turns per meter can be used, which enables high-
er productivity of the spinning machine, as well as better elasticity
and softer hand of different flat textile products. [5], [6], [7]
4. The Inclination of Drafting Arrangement:
The angle of inclination of drafting arrangement (fig. 5) is one
factor which determines the height of the spinning triangle. The in-
clination of drafting arrangement is with respect to the horizontal
line of the machine. If the drafting arrangement is mounted with a
relatively low inclination, the angle of the wrap of the fiber strand
over curvature of the front bottom drafting roller is large; this will
give a long spinning angle, with its associated advantages and dis-
advantages
With a steeper inclination and large angle (α2), the deflection
angle £2 is small and the spinning triangle is short. The inclination
of the drafting arrangement in modern ring spinning machines now
lies between 45° and 60°, very often 45°. [1], [2]
5. Roller Overhang:
The top front roller almost never lies vertically above the associ-
ated bottom roller known as Roller Overhang (fig. 6). Usually, the
top roller is shifted about 2 to 4 mm forward. This gives somewhat
smoother running, because the weighting force exerts stabilizing
component acting in the running direction so that swinging of the
top roller is avoided.
Furthermore, the angle of wrap is reduced and the spinning
triangle is made shorter. The overhang must not be made too large,
however, as otherwise the distance from the exit opening of the
roller nip line, becomes too long resulting in poorer fiber guidance
and increased yarn irregularity. [2], [3]
6. Inclination of Stretch Yarn to Vertical:
The yarn run through the thread guide with an inclination giving
a deflection angle of about 15º to 30º and a wrap angle (on modern
machines of 0º to 50º). This variability arises in part from the up
and down movement of the lappets, balloon control rings and ring
rail. In addition, there is a very large difference in angle of wrap
depending upon whether the yarn in the balloon extends from the
guide towards the machine or away from the machine (to the left).
The angles therefore never have the same size at any two points
around the guide. The thread guides also exert a braking effect
on pulsation of the balloon, which seldom rotates smoothly. It is
usually required to absorb impacts and vibration arising from the
traveller and from air turbulence. A large deflection damps these
impacts and vibrations at the thread guide, so that they no longer
penetrate fully to the spinning triangle.
A smaller angle of wrap, therefore, implies more turns of twist
in the spinning triangle and fewer end breaks, but also higher yarn
tension at that weak point. The latter effect can partly neutralize
the favorable effect of the higher twist level. Also, impacts and vi-
brations are better able to pass through to the spinning triangle. If
the twist density is raised at the nip line, them the spinning triangle
will also clearly become smaller with all the resulting advantageous
and disadvantageous effects.[2]
7. The Balloon Height:
On the ring spinning machine, yarn take up capacity depends
on, among other factors, the height of the tube and air turbulence
formed by the yarn rotating with traveller speed. However, this
height can only be varied within certain a tall balloon implies con-
siderable tension differences between winding of the cop base and
winding at the top.
Also, a balloon in this from is unstable; it can collapse. The lat-
ter problem can be solved by use of a balloon control ring. How-
ever, since the yarn rubs on this ring-and the higher the balloon,
the greater the degree of rubbing-use of control rings can lead to
roughening of the yarn to a high hairiness value, to increased gen-
eration of fly and to melt spots (with synthetic fibers).[1],[2], [3]
Figure.3-Spinning triangles in ring and
compact spinning
Figure.4 -Conventional (a) and com-
pact (b) ring spun yarns
Figure.5 – Inclination of drafting arrangement to vertical
Figure.6– Roller Overhang
Figure.7 - Inclination of stretch yarn to vertical
Figure.8 – Balloon Height

25
8. Other Dimensions in Spinning Geometry[2], [3]:
• The lift Ik is about 20 mm shorter than the tube height Ik.
• The distance from the top edge of the tube to the thread guide
should be at least 2 dh +5 mm.
• The basic setting of the length Ir (between the ring and the bal-
loon control ring) can be slightly less than half the length IB.
•The ratio (ring diameter)/ (tube height) =0.2-0.225.
•The ratio [tube diameter (top edge)]/[interior ring diameter] =
0.45-0.5
Figure.9– Spinning Geometry
Conclusions:
In Ring Spinning, the Spinning Geometry plays a vital role re-
garding to the quality of yarn and performance of machine. Spin-
ning geometry has a significant influence on spinning operation
and the resulting yarn primarily on: Tension conditions, Binding-in
of the fibers, Number of End Breakages, Yarn Hairiness, Yarn Irreg-
ularity, and Generation of Fly. Turn the spinning width, should be
as close as possible to spinning triangle width to minimize high loss
of fiber, minimize hairiness in the yarn. In Compact Ring Spinning
system, the width of spinning triangle get reduces the integration
of edge fibers in yarn cross section increases. The inclination of the
drafting arrangement in modern ring spinning machine now lies be-
tween 45° to 60°, very often 45° to get optimum spinning triangle.
Roller overhang must not be too large
References:
1. Lawrence C. A., “Advances in Spinning Technology”, The Textile Insti-
tute, Manchester
2. Klein W., “Short Staple Spinning Series Vol. 4” “A Practical Guide to Ring
Spinning”
3. www.rikipedia.com
4. C.D. Kane, S.G. Kulkarni , , J. R. Nagla, “Effect of ring frame parameters
on blended yarn hairiness and other properties”.
5. Carl A. Lawrence , “Fundamentals of Spun Yarn Technology”, CRC Publi-
cations, 2003.
6. Eric Oxtoby, “Spun Yarn Technology”, Butterworth’s, 1987.
7. NCUTE publications on Yarn Manufacturing, Indian Institute of Technol-
ogy, Delhi.
Nandan Denim Limited (NDL), India’s second largest integrated
denim fabric manufacturer has reported a net profit of Rs. 15.50
crore for the first quarter of 2015-16 as against Rs 11.47 crore in the
corresponding period in 2014-15, a rise of 35%.
Net sales for Q1 of FY 2015-16 at Rs. 280.50 crore were higher by
6% over previous fiscal’s same quarter net sales of Rs. 263.68 crore.
NDL reported healthy EBITDA and PAT margin in Q1 FY16 at 16.5%
and 5.5% respectively.
Company reported EBITDA of Rs. 46.23 crore during Q1 FY 2015-
16 as compared to Rs. 41.13 crore in the corresponding period last
year, rise of 12%. EPS for Q1 FY 16 stood at Rs.3.40 (Face value of Rs.
10 per share)
Deepak Chiripal, CEO, Nandan Denim Limited said, “The Com-
pany is following its well defined charter of growth and we are
pleased with the performance so far. A disciplined approach in line
with the long term strategy would enable us to further cement our
position in the industry. We are investing towards creation of ma-
chining and manpower competence to build a brand that would be
synonymous with the consistent quality and timeliness of delivery.”
During the quarter, the Company has reported 14% of revenues
from export markets. As of now, it exports to 28 countries.
The total expenditure on the proposed capacity expansion of
Rs. 612 crore is progressing as per plan. The major CAPEX orders
have already been finalised and civil activities are in full swing albeit
slow due to monsoon. The company expects to commission com-
plete facilities in the first quarter of 2017.
Nandan Denim reports PAT of Rs 15.50 crore, up 35% in Q1 of FY 2015-16
Financial Highlights (Rs Crore)
Par culars Q1 FY 16 Q1 FY 15 Growth (%)
Net Proﬁt 15.50 11.47 35
EBITDA 46.23 41.13 12
Net Sales 280.50 263.68 6
EPS (Rs) 3.40 2.52 35
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T
EXTILE VALUE CHAIN media had taken new initiative
for channelizing positivity in the industry. Media had ar-
ranged a Meet with industry stalwarts on 31st July, 2015
for 2 hours at Kotak& Co Ltd. Office. Selected invitee got together
for issue discussion.
Whole concept and idea was given by Mr. Manish Daga from
COTTON GURUTM along with Mr. Suresh Kotak whole meeting
was executed and implemented to a fruitful business meet.
We name of this group as “TEXTILE FRIENDS”, synergising Ac-
tivities with activist mindset who wants to act, walk the talk, do
something meaningful and fruitful for textile community. This is
the informal group, without any backing from government or any
company with the sole intension is to finding probable solutions for
the textile industry.
Vision for Group : Promote Micro and Macro level changes in in-
dustry.
Mission for Group : Work on Micro/ Ground level let Macro
( Government/ Ministry ) level know what industry needed.
Macro Level are Strategist, Micro Level are Activist.
Invitees who made their presence are as follows:
• Mr. Suresh Kotak , Chairman- Kotak& Co. Ltd.
• Mr. Manish Daga, MD – COTTON GURU
• Mr.ArvindSinha – President, TAI
• Mr.Jhunjunwala- President, RSWM
• Mr. Shiv Kanodia- Secretary – Bharat Merchant Chamber
• Mr. Anil kumar – ED- SRTEPC
• Mr.AvinashMaykekar – MD- Suvin Advisors
• Mr.SharadTandon- MD- Stadon Consulting
• Mr. Janak Soma- TAI
Mr. Suresh Kotak acted as moderator of the meeting, as his
knowledge and vision gave direction to work towards our goal.
Discussion was healthy. Following points we derived during
meeting :
• SUSTAINABILITY IN INDUSTRY :
Manish Daga stated that everyone talks sustainability, but
there is no implementation. Good for others will do good for us,
Either all of us will survive or none of us will. Textile has the longest
supply chain. But in textile, no interest, knowledge, least concern
what is happening in other value chain segment. Eg. Farmer are
least concerned about ginner, Weavers are least concern with pro-
cessor, brands/ garments are least concerned with raw material.
Everyone wants sell but price oriented affects the quality to a large
extent.
Mills are in very bad shape, doing trial and error in supply sourc-
es. No testing in ginning, testing only in yarn & fabric segment.
how you compete with world if your raw material is not of good
quality? Spinning mill first make yarn then decide whom to sell.
Synergising Activities by TEXTILE FRIENDS Group
China buying, if no china? Then nocontingency plan , no disaster
management, no plan B. Many big corporate in spinning side, not
doing good. How we sustain as industry ?
What should we do? Everyone can’t get out of the industry, eve-
ryone can’t stop manufacturing, can’t stop growing, we need to
find a way out…
Solution:
• Plan strategic cotton growing.
• Check production in each segment of value chain and con-
sumption pattern, understandWhat is surplus? What should we do
with surplus? Export, domestic consumption? How we balance our
textile economy.
•China have similar model. Even if we adopt the same, we will
win half race.
• WEAVING INDUSTRY / POWER LOOM SECTOR :
Weaving sector weakest link in textile chain, not due to lack of
technologypurely due toscatter/ fragmented nature of industry,
ownership is small, very fragmented, typical run by family own en-
trepreneurs, no proper working culture, no professional outlook,
lack of good weaving capacity, everyone works on isolation, lack
of vision/ unskilled owners, herd mentality, owner untrained, lack
of technical expertise, lack of trust among them, big order cant
execute. Entrepreneurs are Positive people. They keep trying, very
dynamic, multiplying with importing looms.
What is preventing Indian entrepreneurs in setting up huge
weaving capacities like 3000 looms in one shade as is the trend in
China and Indonesia. Perhaps thus is only list set. Large qty of yarn
is being exported which means there is a market for fabrics. If this
group can identify the reasons for large weaving capacities being
put up than thus group can motivate large corporates for putting
up Large weaving capacity which will reduce export of yarn and
increase export of fabrics and made ups. Thus will be in line with
Govt of India’s ‘Make in India’ initiative.
Take ichalkaranji as incubation lab, as it is mushrooming in weav-
POST MEET REPORT

AUGUST 2015

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