Sutlej Textiles fares better despite several odds

Sutlej Textiles and Industries Ltd. (STIL), a leading manufacturer and exporter of value-added dyed yarns (synthetic & cotton mélange) with presence in Home Textiles, clocked a turnover of Rs. 2,642 crores for the year ended March 31, 2019.

Mr. C.S. Nopany, Executive Chairman, Sutlej Textiles and Industries Ltd.

Commenting on the results for the year, Mr. C.S. Nopany, Executive Chairman, Sutlej Textiles and Industries, said: “The challenging business environment for the textile industry continued during the year due to subdued demand. The situation was further aggravated by unprecedented fluctuations in raw material prices and exchange rates that created even more uncertainty and further dampened market sentiments. This resulted in intense competition, subdued product prices and lower margins. We could counter these challenges to a large extent because of our varied product mix and value-added yarns. Sutlej will continue to focus on consolidating its operations and improving efficiencies all around during this phase of a prolonged recession.”

Green fibre project

Sutlej’s green fibre project to manufacture polyester staple fibre (PSF) by recycling of pet bottles is under implementation at Baddi in Himachal Pradesh. The company has commenced work on the project for manufacturing raw white & black recycled fibre with capacity of 120 MT/day. The total project cost is around Rs. 189 crores, and commercial production is expected to start in Q1 of FY20-21. The new plant will fulfil 75% of Sutlej’s captive requirement of PSF, which is the key raw material.

Sutlej has also been continuously modernising its existing plant. The company has invested around Rs.38 crores during FY19 towards technology upgradation and debottlenecking, etc. This will result in further improvement in efficiency and sustaining plant utilization. Nearly 32% of the spindleage and 67% of the fabric weaving machines have been commissioned in the last decade, assuring high technological relevance.

Sutlej Textiles and Industries, an ISO 9001:2015 certified company, is one of India’s largest spun dyed yarn manufacturers is part of the KK Birla Group. Under the leadership of Mr. Nopany, a Chartered Accountant and Master of Science in Industrial Administration from Carnegie Mellon University, the company has focused on value-added yarns and home textiles. Over the years, the company has also successfully carved out a niche for itself and is holding leadership position in the dyed yarn and cotton mélange yarn segment. Its total spinning capacity stands at 420,840 spindles and 9.6 million meters per annum capacity of home textiles.

STIL, with a strong global clientele, exports to more than 60 countries. It has presence across major developed and emerging economies like Australia, Argentina, Bangladesh, Bahrain, Belgium, Brazil, Canada, China, Chile, Cuba, Egypt, France, Germany, Hong Kong, Italy, Morocco, New Zealand, Peru, Philippines, Poland, Portugal, Russia, Saudi Arabia, Sri Lanka, Turkey, the US, the UAE, the UK, etc.

Sutlej is today one of the largest spun dyed yarn and melange yarn manufacturers. The company offers high value-added dyed yarn and has presence across all types of spun yarn. Out of the total capacity of 4,20,840 dyed yarn spindles, 35% of which is dedicated to Melange yarn and 65% to various blends. Sutlej offers well diversified product Portfolio catering to the requirements of marquee clients like Page Industries, Siyaram, Raymond, Donear, etc.

Home Textiles

Home Textiles is an emerging business for Sutlej. The company is focussing on curtains, upholstery & made-ups. Sutlej has a state-of-art manufacturing facility in Gujarat with a capacity of 9.6 million metres/per annum, including 126 dobby & jacquard looms.

To enhance its portfolio and presence in the home décor segment, Sutlej acquired American Silk Mills (ASM). The company is strengthening its product portfolio by leveraging the ASM design expertise and US presence, focussing on higher end markets in developed counties, building world-class design capabilities and improving product mix and broadening product portfolio.