Repeat orders mainstay of revenues at Thakore Exports

Over the years, Thakore Exports has developed such deep trust among its existing customers that brand loyalty reigns high when it comes to business. This has also helped the company spread its footprint in other countries, reports Arun Rao

Ahmedabad-based Thakore Exports, which is engaged in the manufacturing and export of fabric processing machinery, derives 50% of its revenues out of repeat orders from old and existing customers. Moreover, the company also generates 50% of its sales from exports to the neighbouring country of Bangladesh. “We attribute the flow of repeat orders to the highest quality of machines that we supply, due to which machines sold even 20-25 years ago are still running to the complete satisfaction of our customers,” says Parag Thakore, Director, Thakore Exports. Giving an example, he adds, “The stenters which we supplied in 1996 are still operational in Bangladeshi textile mills. The rails in those machines have still not been changed despite being in use since the last 23 years.”

Parag Thakore, Director, Thakore Exports

“There are not many new projects being set up regularly and so it is important to receive repeat orders from new or existing customers who are modernising their technologies. Bagging repeat orders has kept our company ticking,” he elaborates. Thakore attributes the revenue generated from the Bangladesh textile industry to his father Pradip Thakore, who exported the first machine to Bangladesh in 1984. “My father built personal relations with each of our customers, while also offering the best workmanship in our machines. Till the time he was active in the company, he was personally looking after the Bangladeshi market,” he informs. Thakore Exports was started by Pradip Thakore in 1973 and began with manufacturing polymeriser and shrinking range machines.

Alongside, the company also undertook maintenance work of imported processing machines in textile mills, which gave them access to various other fabric processing technologies. In that period, Ahmedabad was known as the ‘Manchester of India’ and had many composite mills. With passage of time, the company added washing range machine, merceriser machine, stenter machine, denim finishing range, vertical drying range, rope washer, fabric surface finishing machine and various types of jigger machines to their portfolio. However, the company now is focusing on upgrades of mercerising and washing range machines.

Technologies, Quality and Pricing

Each of these machines has undergone a lot of development over the years and the range is now automated. Also, the production capacity has been increased while electricity consumption has been reduced to half. At the same time, water consumption has also been decreased. Thakore shares that it has become imperative to keep on upgrading technologies to stay relevant in the industry. “A washing machine typically has 10-12 tanks in which the fabric is washed and later, water from all these tanks is drained out. We have increased the washing efficiency to such an extent that now only the water from the first one or two tanks is drained out, while water from the rest of the tanks can be reused,” he states.

This has resulted in 60-65% water savings and has been made possible through in-house research and development. The company has also introduced a new version of cylinder dryer in which as against 30-35 metres per minute speed, the company is now offering technology that provides speed of up to 100 metres per minute. A cylinder dryer is used to dry the fabric after it is washed. Meanwhile, as part of the company’s quality control initiatives, prior to dispatching the machine to the customer, the company fully assembles the machine at the plant and checks for faults if any. This is to ensure that the machine works effortlessly at the customer’s end.

However, if needed, the company also offers excellent after-sales services to its customers through a team of seven professional engineers. The service engineers are also supposed to regularly visit each of the installations on a regular basis to check for problems and solve them before they turn into a major issue for the mill. Another factor in favour of the company is its product pricing. “Our machines are priced very competitively even though they are of the best quality. This is what makes us a preferred supplier in countries Bangladesh, Indonesia and the African continent,” Thakore states.

Infrastructure and Clientele

The company operates two production facilities spread over a built-up area of around 45,000 sq. feet. The production facility is equipped with the latest in laser cutting, welding, argon and bending machines, which offer a high level of workmanship to the machines. The company has several customers in India and Bangladesh who have installed the whole range of technologies that they offer. These include Chromatex, Eva Dyeing, Parag Textile Mills (P) Ltd., M M K Dyeing, Printing, Finishing and Calendaring Industries, etc., from Bangladesh. In India, they have supplied to BEE K BEE Prints from Faridabad, Jaincord Industries from Mathura and Supashwa Texprints LLP and Shree Narayan Fabrics, among others.

Other customers who have installed a major part of the processing machines from Thakore Exports include Mahalaxmi Mills, Vinny Overseas, Bhavya Fabrics, Kanha Exim, Nisan Exim, etc., which are counted among the major fabric processing houses in India. Jindal Denim too has installed five denim finishing ranges sourced from Thakore Exports. The company is currently in talks with a European company for a collaborative venture in which the latter will supply 75% of the parts of the latest technology machine and the rest will be produced in India. If the talks fructify, the announcement will be made at the ITME trade fair to be held in December this year. Thakore Exports will also set up a new 25,000 sq. feet production facility.

The Roadmap

As to whether the overall slump in the textile industry has impacted its business, Thakore says: “Although everyone is currently concerned about the current slowdown in the textile industry, we have not experienced any major setback. Our order book position which earlier was 5-6 months is now 4-5 months. We have experienced a dip in sales of just around 10%,” he mentions. On expectations from the government, he wants the concerned departments to resolve the issue of GST refunds and shell them out faster since this has created capital issues for the industry. “If GST refunds are made on time or within three months as stipulated, then not just textiles, but all industries in India will revive immediately,” he avers.