Could you tell me something about your company?
Amit Jain: Shingora is a family owned company specialising in weaving and finishing of products crafted from the finest Australian Fine Merino, Mongolian Cashmere, Chinese Silk, Indian Mercerized Cotton, and Fine Linen. Founded in 1986, Shingora has come a long way from being a fledging enterprise that manufactured scarves and shawls to being the single biggest manufacturer & exporter of scarves, shawls and throws in India. Its sprawling expanse of 25,000 square meters employs a dedicated staff of 800 who blend traditional skills practiced for generations through handlooms with new age state-of-the-art shuttleless looms with electronic jumbo jacquards.

What are the kind of products you are dealing in? How are demand of those products in the market currently?
Amit Jain: We are currently dealing with shawls, stoles, scarves, mufflers and gents shawls and scarves both for summer and winter. The demand of these products is very high as these products are now becoming fashion products than a regular functional.

How much growth have you witnessed in the last fiscal? What are the challenges you usually face in your business growth and expansion?
Amit Jain: It is 25 percent year-on-year growth we have achieved. The main challenges we are facing are as follows: -

a.       One of the biggest challenges is the inconsistent Tax Regulations. The sooner GST come in the better it will be.

b.      Road infrastructure is very poor. It takes more than a week for movement of goods within India only.

c.       Lack of credit checking agencies. Poor paymasters have no fear.

d.      Lack of bill discounting support from banks in the domestic retail business.

Are you affected by the ongoing crisis in the US and European markets?
Amit Jain: World economic scenario has a bearing on both exporters and domestic players. The effect is amplified in the export scenario. The buyers are getting not only nervous but also frugal. This puts pressure both on manufacturing capacities and the bottom line. Input costs are rising constantly while selling prices are coming down.

Do you have retail outlets in the US, Europe and other countries?
Amit Jain: Yes, we sell to about 500 fashion boutiques around Europe under the Shingora Brand.

You are currently exporting to which countries?
Amit Jain: We export our products to various countries like the US, Western Europe, Japan, Australia, etc.

How do you function in the international markets?
Amit Jain: We sell to about 500 fashion boutiques around Europe under Shingora brand and through our OEM route; we are the premium supplier to brands like Polo, Paul Smith, J. Crew, Zara Women, Mango, etc.

Are Indian textile products popular in the overseas market? Do you think India faces potential competition from neighbouring countries like China, Vietnam, etc? What kind of strategy do you apply to meet up with this kind of tough competition?
Amit Jain: China, Vietnam, Bangladesh and in the next few years more to come…. I believe if Germany can stay a manufacturing powerhouse, India can as well. Question is government policy leading towards the situation. Yes, at present there is pressure on the industries from China, etc.

India lacks in adopting modern technology due to higher duties, financial constraints and lack of indigenous production of capital goods. Do you think this is hampering our textile growth in the country?
Amit Jain: Lack of investment in infrastructure and poor support from the government for companies investing in infrastructure are roadblocks to the textile industry. Frequent changes in duties and taxes is another problem; they keep on changing the rules of the game and thus discouraging long-term planning.

What kind of government support are you looking for?
Amit Jain: TUF (Textile Upgradation Fund) scheme should be continued further, and focus is required on specific areas such as finishing and processing to get the Indian textile industry to the level of the Italian industry. Special support should be provided to Indian brands which are trying to make an international foray.

(Namrata Kath Hazarika can be contacted at namratakh@tradeindia.com)