Established in 1993, Hayleys Fabric PLC is the pioneer in textiles manufacturing in Sri Lanka. The company provides end to end solutions from design to manufacturing of fabric made out of natural and synthetic fibers. Hayleys also has the capability of in-house printing with 16-colour printing machines, fabric brushing machines and sueding machines. Hayleys PLC, the parent company, is the oldest conglomerate in Sri Lanka with interests in diverse business operations. Hayleys Fabric clocked growth of 21% to a record turnover of $69.9 million.
E.R.P. Goonetilleke, Managing Director and CEO, says: “Hayleys Fabric PLC manufactures innovative high value fabric to quality conscious global fashion brands. A pioneer in the field, we were also the first to develop our own branded range of fabric “Inno”, as we forecast fashion trends to develop fashion forward fabric that capture our clients’ interest. A passion for innovation drives our growth and performance which turned around as we achieved a paradigm shift in our business model to sell fabric that are conceptualized and manufactured by us”.
Sri Lanka’s apparel sector recorded healthy growth of 5% in 2018 exporting $5,050 million worth of textiles driven mainly by strong demand from the US which accounted for 45% of apparel exports, growing at a rate of 5.7%. EU accounted for 42% of apparel exports. Sri Lanka’s appeal as a sourcing destination continues to be based on quality, capability and sustainability. The industry responded to the Speed to Market requirements of brand owners by focusing on their supply chains to put in place rapid supply programmes with strategic vendors to ensure that products are in stock and made available to end consumers consistently. Multiple brands and retailers co-innovate alongside manufacturers to introduce new products improvise processes, IT systems and IOT devices to position Sri Lanka as the best in the region.
Sri Lanka’s plans to accelerate its apparel sector to a $8 billion by 2022 by transforming the industry to an ‘End-to-End Fully Integrated Apparel Solutions Provider’ and positioning itself as a preferred ethical sourcing destination is expected to intensify market penetration with players moving into the premium market segments.
Hayleys Fabric PLC has commenced its journey of moving into premium market segments and is working closely with brand owners to understand their specific needs to continuously refine our customer centric business model. Hayleys is now firmly ahead in technology, innovations, complexity, diversity, speed, quality, price and service levels, which are the key ingredients sought after by top brands in the world.
Some of the leading global clothing brands like Nike, Victoria’s Secret and Decathlon are strategically moving towards Sri Lanka for synthetic apparel production, as Sri Lanka has come up with a wide range of synthetic raw material options over the last couple of years. In addition, Sri Lanka is seen as a hub for Innovations, Social Compliances and Sustainability.
A customer centric strategy
Goonetilleke says: “The cornerstone of our strategy is customer centricity as we align innovation, supply chains, workflows and production with customer strategy, catering to their needs. Our in-house Innovation Centre focusses on understanding the customer needs and anticipate the future of the fast-paced fashion industry to develop a portfolio of fashion forward fabric for a sophisticated and astute clientele in developed markets. Our dedicated team of fabric designers have designed and developed over 70 new products during the past years. This has enabled us to differentiate ourselves from our competitors and attract premium global fashion brands to our high end fabric portfolio”.
“This game changing strategy also allowed us to align our other processes to deliver our designs with razor sharp focus on the need for high quality, speed of delivery and socially and environmentally responsible processes. We weathered initial growing pains witnessed in the past two years in the belief that our vision needed a long term view due to the time required for marketing and meticulous approvals of different aspects of our product range at varying stages. The benefit of this strategy is the approval received for our fabric which enables us to drive higher standards of service excellence and efficiencies”, he added.
Hayleys Fabric PLC invested in expanding production capacity whilst continuing to upgrade their technology to state of the art, keeping abreast of modern manufacturing techniques and driving product quality, flexibility, cost efficiency and environment sustainability. This year, investments were made in quality control, dyeing and finishing machines for $0.59 million.
A state-of-the-art facility, the Hayleys Fabric PLC plant is highly diversified and is capable of producing a comprehensive range of value-added products and finishes including peach finish, brushing (in large capacity), sueding, printing (discharge printing, reactive printing, pigment printing and embossing) in pure and blended polyester, nylon and cotton fabric. In recognition of our capabilities, Hayleys Fabric PLC has been appointed the designated synthetic fabric supplier in Sri Lanka to a top global apparel brand.
Hayleys has been making investments in the synthetic business. The company has augmenting printing capability with advanced laser engraver; enhanced dyeing capability with new dye machines, automatic lab dispensing system and Improving quality control through new inspection machines having advanced technology and upgrading existing stenters to improve productivity, quality and speed.
Technology and productivity
The rapidly changing fashion industry requires rapid changes in technology, gearing production to suit technical requirements, finishes, colours, textures, order quantities and short lead times. The development of agile production methods and process routes has enabled the company to meet these requirements in a cost-effective way.
Foreseeing the behaviour of the end customer and market trends is important to make suitable decisions in this industry. Hayleys has at many times demonstrated this ability which includes even air-freighting machinery when the need arises.
Re-arranging the process flow to suit new technical requirements, installing a second new colour laboratory dispensing machine, additional sample dye machines and a much-needed advanced laser engraver for printing was completed during the year.
Further, upgrading of dye machine controllers, finishing machines, colour kitchen systems were also completed. The commissioning of the new three storey knitting building with extra machines was also completed.
Cost saving and productivity improvements are being continuously carried out. At present, almost 9% of the process water is recycled daily. The entire requirement of steam for dyeing is generated through the use of biomass (saw dust). Many specialized technical experts have been consulted to improve process times and raw material consumption in order to enhance competitiveness and profitability. Projects relating to the further reduction in energy costs is continuing.
Environment, health, safety & compliance
Hayleys has been extremely responsible in maintaining the highest level of compliance. Nike carries out a discharge water quality test annually and a “Green” certification is received every year. This is the highest standard for water, from Nike.
Zero Discharge of Hazardous Chemicals (ZDHC), is a global initiative where all the reputed brands in the world have laid down guidelines and prohibitions relating to the use of certain chemicals which are categorized as hazardous, in the global textile and footwear value chain. Hayleys is ahead of the targets set by the ZDHC and has been compliant for the second consecutive year, well ahead of the target date, which is in 2020.