Yamunanagar : Opportunities And Challenges Ahead

person access_time   3 Min Read 27 August 2020

Yamunanagar is the biggest hub of plywood manufacturing with highest market share by up to 48 to 50% of India’s total plywood market. Yamunanagar is synonyms for ‘being a trendsetter in plywood manufacturing, technology, offering best quality products at affordable price, etc. Yamunanagar has also been regarded as smart and Indian way of real entrepreneurship skills.

With so many advantages, Yamanunagar cannot be just easily owned over or challenged. Many people talk, “Is it possible that the market share of Yamunanagar would be eaten by others? Is it possible that others zone or regions are ready to offer good quality plywood at affordable prices? Can Yamunanagar producers lose their grip and charm in future?” It has not easy to answer until Yamunanagar stops its evolving and innovative nature of factory and business operations. Actually, the growth of Yamunanagar is mainly driven by the availability of timber at affordable price. Yamunanagar has been receiving good stock of Poplar and Eucalyptus timber consistently from local source and neighbouring states since last 20 years, which support them to expand, grow and make them a leader in plywood manufacturing.

Undoubtedly the challenge is growing but this is still in hands of entrepreneurs of Yamunanagar for another one-two years, if they act. Yamunanagar produces good quality products. They have ready infrastructure, but are hesitant to move into market, spend on marketing and offer products in projects. In nutshell, they are hesitant to come out from their comfort zone. If they get ready to break all hesitations, they could become winner and set an example in coming time.

But, in last 5 years, the scenario has changed because other wood clusters are also getting abundant timber at affordable price. Kerala has been receiving abundant of Rubber wood and Eucaly. Karnataka, Tamilnadu and Andhra Pradesh have been procuring Melia-Dubai locally, and good plantation of Melia-Dubia is reported in entire Southern states, which they are using it as Core Veneer as well as Face Veneer. It means, they are getting good yield.Gujarat Plywood industry is also becoming self sufficient, with increasing supply of Nilgiri wood. There is good plantation of Lumbu timber reported in West Bangal, which is helping local plywood industry to grow. Bihar has also grown ‘Plantation Timber’ which will support the local industry and government is considering to allow more plywood licenses there.

Licenses in Uttar Pradesh is temporarily in hold but state government is confident that they will win the case in Supreme Court, although there is chance the free-licensing policy may come on agro based wood industry. Scenario indicates that the licenses may be easy in UP in next 2-3 years although with installation of number of modern manufacturing plants, the production capacity has been doubled in UP in last 3 years, hence the consumption of timber has increased locally.

Undoubtedly the challenge is growing but this is still in hands of entrepreneurs of Yamunanagar for another one-two years, if they act. Yamunanagar produces good quality products. They have ready infrastructure, but are hesitant to move into market, spend on marketing and offer products in projects. In nutshell, they are hesitant to come out from their comfort zone. If they get ready to break all hesitations, they could become winner and set an example in coming time. Yamunanagar must take its present leadership advantage or others will take their deserving share.

In this July 2020 issue lots of news, market reports, product launch, financial reports of some organised brands and recent development in wood panel and plywood industry and trade has been published. The exclusive talk with Mr. Jagdish Gupta, Managing Director, Stylam Industries Ltd is worth read for the decorative laminate sector. He explains the importance of World First German Technology to bring Anti Finger Print Laminate and many more aspects in the industry. The 'Cover Story' on relevance of BIS Standard in Plywood at present time is eye-opener of plywood industry and trade. The Kajaria Ply moves to bring 'Calibrated Plywood' with setting up new machines at Gandhidham is also featured long with other updates, features and events.   

Keep reading and update yourself! 

Rajiv Parashar (I appreciate your feedback. Write at plydata@gmail.com or SMS on 93106 12993)

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