JO ACTIVE, WAHI SIKANDAR - Pragat Dvivedi, Founder Editor, Ply Reporter

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Today’s market is strange and very different for different companies in same product segment. Seeing quarterly results of organised brands, what is evident is ‘sharp jump in demand growth, market expansion and better profitability’ compared to previous quarters. On the same, mid segment companies are struggling with regularity in income, sales, and payment flow.

In every 10 companies, two are plush with 15-20 days order pendency, three companies are operating on weekly order base where as remaining are floating somehow. The overall capacity utilisation in Plywood is at 50 -55 % and in laminate it has improved and now at 70% during October. In film face shuttering the producers are using 60% of their capacity. The PVC laminate, decorative veneer and doors category are also operating at 12 hours shift basis. On the whole, there is no complain but only one pain, ‘Missing Margins’.

The imports are unviable that has benefited Particle board and MDF sector. But the defining edge is given by HD+MR category MDF. The efficiency was highest in MDF where order pendency remained above 15 days and running up to a month varying brand to brand. Over all the MDF sector is operating at 85 percent plus capacity utilisation. I will credit the success of MDF, 3rd spell in last 3 decades is to activeness shown by Action Tesa and Green Panel.

The conclusion drawn is simple “The companies/brands, who are active and open to find opportunity has got plenty of work and orders”. Those who are lacking on finances and process-system based working with unclear goal and methods are shrinking. If framed simply, it is ‘Jo Active, Wahi Sikandar’. Those who are alert and working hard, are marching ahead and beating the competition.

The companies/brands, who are active and open to find opportunity has got plenty of work and orders”. Those who are lacking on finances and processsystem based working with unclear goal and methods are shrinking. If framed simply, it is ‘Jo Active, Wahi Sikandar’. Those who are alert and working hard, are marching ahead and beating the competition.

Earlier the markets use to be stable and booming for two-three months followed by dull patch of 15 to 30 days, but now the cycle is very volatile. In past three months, the scenario is so unequal for companies that majority of manufacturers are cribbing about dull market where as some are happy with demand and payment flow. I am observing this inequality on a much bigger scale now and the gap is widening. The good brands are a necessity whether we see it or not. With each passing year, its tough to keep going (with 8-10% profits)

The focus on quality, service and delivery and right team temperament is the mantra for growth in today’s time. Undoubtedly it is easy to write but tedious to achieve. The mid segment brands are clearly witnessing the need and pressure to achieve this. But most of them fear to step ahead from extreme hard work, spending time, energy and mind on intangible things like quality process, team building and image building. The delay will cause widening gap so it is time for active and ambitious players.

Shubh Deepawali

Pragat Dvivedi Founder Editor

Mail to “dpragat@gmail.com ", ( M) 9310612991.

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