Published on 10th February 2018
The Ply RePoRTeR february 2018
VOL.18 ISSUE 02 february 2018
A Techno-Informative Magazine EDITORIAL & CORRESPONDENCE 40/76, LGF, C.R. Park, New Delhi - 110 019. Tel.: 011-4678 0023 Email : plyreporter@plyreporter.com ADVERTISING Tel.: +91-9310612999, E-mail: devplyreporter@gmail.com
Contents Regular Coloumn 20-22 Editorial
24-26 Apni Baat
284 Horoscope
288 Fair News
286 Advertiser’s Index
News Watch 28 I E-way Bill to boost organized players, glitches make roads bumpy
bZ&os fcy ls vkWxuZ kbt czkM a l ~ dks gksxk Qk;nk] [kkfe;ka cu jgh pqukSrh
32 I New Timber in Myanmar, Costly and uncertain
E;kaekj esa ubZ ydM+h dh vkod “kq:] jsV Å¡ps
36 I Mushrooming Laminate units price to the lowest under pressure
ysfeusV QSDVfj;ka c<+us ls jsV fupys Lrj ij
40 I New law push builders, Film face and flush Doors demand sustain
ACCOUNTS Tel.: +91-93106 12996 E-mail: bigseamarcomindia@gmail.com
u;s dkuwu ls fcYMj ncko es]a fQYe Qsl vkSj ¶y”k Mksj dh ekax c<+h
42 I Marginal relief in Phenol-formalin, scope for price adjustment
QsukWy&QkeZyhu esa ujeh ls IykbZ& ySe dh dherksa esa jkgr dk volj
www.plyreporter.com
44 I Price rise in Malaysia & Indonesia, Thin base ply gets impact
eysf”k;k vkSj baMksufs ”k;k esa IykboqM dh dhersa c<+h] Fkhu csl IykbZ çHkkfor
46 I Revenue of Organized plywood drops in ‘Q3’ Oct-Dec 2017
rhljh frekgh esa vkxZukbt IykboqM dk jktLo fxjk
48 I MDF production supports in Centuryply Q3 revenue
lsp a jq hIykbZ dh rhljh frekgh jktLo esa ,eMh,Q mRiknu ennxkj
50 I Alternate materials taking share of wooden window frames
foaMks Ýse esa ydM+h ds oSdfYid esVsfjy; dh ekax c<+h
52 I Rules for saw mills, veneer and plywood ind. framed in Chandigarh
paMhx<+ esa l‚ fey] fofu;j vkSj IykboqM m|ksxksa ds fy, u, fu;e
54 I Anti-fingerprint Laminate offerings growing in India
Hkkjr esa ,aVh&fQaxjfçaV ySfeusV dh is”kd”k c<+h
58 I Surya Panels Laminated Flooring A new venture of Rushil Décor
lw;kZ iSuy ySfeusV ¶yksfjax & #f”ky Msdksj dk ,d u;k osapj
64 I PPMA seeks special status for Plywood industry
ihih,e, us IykboqM m|ksx ds fy, dh fo”ks’k ntsZ dh ekax
CONTENT Tel.: +91-93106 12993 E-mail: plydata@gmail.com SUBSCRIPTION / CIRCULATION Tel.: 011-46780023 Mob.: +91-93106 12995 / 2 E-mail: subscription@plyreporter.com
ANNUAL SUBSCRIPTION Rs. 1,100/-
Printed, published and owned by Pragat Dvivedi, Printed at Modest Graphics Pvt. Ltd., C-53, DDA Shed, Okhla Industrial Area Phase-I, New Delhi-110020 and published at F-1118, C.R. Park, New Delhi - 110 019. Editor Pragat Dvivedi The views expressed in the columns of ‘The Ply Reporter’ are not necessarily those of the editor or the publisher & they accept no responsibility for them. No part of this magazine including advertisements designs, prepared by us or through us should be copied, reproduced or transmitted by anyone without prior written permission of the publisher. The Magazine is not responsible for the opinions & ideas presented on the following pages. All disputes regarding this magazine will be settled in Delhi (India) Jurisdiction only.
TOTAL NUmBER Of PAGES - 300 www.plyreporter.com
68 I Action TESA HDMR BOARD is now most preferred products in both home & office furniture segment 76 I Sealing drive in Delhi shakes PlyLam lifting
fnYyh esa lhfyax ls IykbZ&ySe dh mBku detksj
122 I Rushil Decor orders a complete MDF plant to Siempelkamp
128 Wonder Wood Finish: The Latest Wonder from AICA
128 I Dr. Stephan Niggeschmidt appoints as 3rd MD of Siempelkamp
295 An insight by Alstone on how to select right WPC Sheet
The Ply RePoRTeR february 2018
Contents
Contents One 2 One
Pg.
146
‘After E-way Bill, gST will enable dealers to take input credits which will encourage them to sell branded products for better margin’, -Says Mr Rajesh Mittal, Md, greenply Industries Ltd.
Pg.
184
Update
Interview
124 WPC BOARdS for modular kitchens 192 First-of-a-kind commercial demonstration of Douglas-fir glue laminated beams at CEPT Centre of Excellence Workshop
gabon SEZ …positioned as World’s Face Veneer Manufacturing Hub Mr Nitin Misra,
Head of Business development & Marketing, gSEZ SA
Loyal of Aica
Pg.
194
196 delhi based Hindustan Plywood group plans to expand pan India
Machinery Talk
Pg.
276 A Talk With Machinery Solution Providers
Mr R. Sathyanarayanan, Proprietor, Sri ganapathy Traders, Coimbatore www.plyreporter.com
Star International, Yamuna Nagar
The Ply RePoRTeR february 2018
Contents
Contents
Event Watch 198
Purbanchal Laminates is honoured with INNOV Award-2017 for CSR 208
Greenply foundation: Nurturing smart craftsmen of tomorrow 222
AMULYA MICA organizes Dealers Meet at Mangalore 228
Rebecca Laminates launches its range in Jaipur 234
200
ROYALE TOUCHE bags Laminates Stylam Industries ‘India’sbreaches greatestthe 100 mark with a new experience brands & leaders 2015-16’ award enter launch at Pune 210
AICA atIndustries A&i Digestbags Exhibition, Stylam ‘India’s Pune greatest brands & leaders 2015-16’ award 224
AMULYA MICA organizes Dealers Stylam Industries bags ‘India’s greatest Meet brandsat&Jodhpur leaders 2015-16’ award 230
Dreamlam celebrates launch of Stylam Industries bagssuccessful ‘India’s greatest its new &range brands leaders 2015-16’ award 236
202
DURO opens Exclusive Experience Centre in New Delhi 214
Centenary celebration by Indian Institute of Architects, Akola 226
AMULYA MICA organizes Dealers Meet in Udaipur 233
Tuffwud Gold’s knowledge sharing sessions with carpenters
BOOK YOU ADVT/CONTENT IN THE PLY REPORTER’S
INDIAWOOD SPECIAL SUPPLEMENT ALSTONE headed towards Bihar to educate Fellow Carpenters www.plyreporter.com
Floresta organizes contractors meet at Guwahati
Write to: plyreporter@plyreporter.com Mob.: +91-9310612999
The Ply RePoRTeR february 2018
Will DemanD exceeD capacities? if not, supply to those Who can pay Back!
Editorial
Pragat Dvivedi, Founder Editor
20
There could be around only a dozen companies in Plywood, Panels, Decorative surfaces among approx 3000 firms, which are LARGE enterprises with tax of the slab at 30%. The MSME sector, which is under pressure after ‘DeMo, GST and Market slowdown’ shall feel motivated to become organised taking benefit of this. Now different states have different announcement about E-way bill implementation date. Clarity is desperately required to keep a check on rising irregularities and unorganised practices.
B
udget, E-way bill and ‘Better Demand’ are the key changes that are under way. FY 2018-19 Budget offers big support to SME’s where tax has been brought down from 30 to 25% for firms doing turnover up to 250 crores. It is a big boost to entire plywood, laminate and furniture manufacturing industry that are in the process of becoming organised. Earlier 25 pc slab had been announced in the last budget for companies below 50 crore turnover. There is a clarification in criteria of classification that defines Micro, Small and Medium Enterprises (MSME) recently. A unit which annual turnover is less than 5 cr is termed as ‘MICRO’, turnover ranging Rs 5-75cr is SMALL and those which are between Rs 75-250 cr are MEDIUM enterprises. It has nothing to do with captive investment any more. So there could be around only a dozen companies in Plywood, Panels, Decorative surfaces among approx 3000 firms, which are LARGE enterprises with tax of the slab at 30%. The MSME sector, which is under pressure after ‘DeMo, GST and Market slowdown’ shall feel motivated to become organised taking benefit of this. The matter of E-way bill has caused further confusion among industry as it is postponed again for undefined period. Now different states have different announcement about E-way bill implementation date. Clarity is desperately required to keep a check on rising irregularities and unorganised practices. The demands of Ply, Laminate, MDF/PB & Doors have improved, thanks to activities/ happenings in real estate (builders) and corporate sector. Projects have begun and sentiments are better, the retail market is also echoing ‘demand and sentiments getting positive’ during our last month state surveys. Though, there is a big warning coming regarding ‘Payments’and this is the area you need to be cautious about. Reports emerging from Ply-Lam manufacturing clusters indicate ‘Crisis building up on payment collection’ front. The average ‘credit period’ that use to be 30-45 days in case of Plywood/laminates is a distant dream because of over capacity build-up across wood-panel-décor segments and desperate selling activities. Payments are getting delayed from dealers which in many cases now running beyond 180 days thus creating a big risk and nervousness among suppliers. We are coming across incidences of ‘Returning of material’ from stockist due to payment issues, Noresponse, Disputes etc from trading firms based in metros and bigger cities. It’s not just about Payment delays any more instead it is going to be about habit of not working on own capital and bad intent where people are shutting their shops and running with money. Incidents where trading firms deserted the market and disappeared over night as reported by trade personal, are also growing. A recap on trade history three years ago point out that list of defaulter parties is crossing 5-6% mark which used to be around 2% in any city. I suggest this concern to be discussed seriously during the Ply-Lam Association meetings. Another noticeable change is small buyers trying to reach directly to manufacturers bypassing old distribution channel or vice versa where the risk of payments are too high. All I can see is 2018 & 2019 will be the trickiest phase I have ever seen because too many changes have occurred in a very short span of time. With a hope that market demand will grow bigger than capacities building up, my suggestion is to witness the situation with calmness and act of wisdom. See you all at Indiawood, Ply Reporter stall, Hall No- 4.
Pragat Dvivedi Founder Editor www.plyreporter.com
Mail to “dpragat@gmail.com”, ( M) 9310612991.
The Ply RePoRTeR february 2018
laikndh;
Editorial
D;k ekax] mRiknu ls T;knk gksxh\ vxj ugha] rks is&ekLVj dks gh lIykbZ djsaA
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izxr f}osnh Mail to “dpragat@gmail.com”, (M) 9310612991 www.plyreporter.com
The Ply RePoRTeR february 2018
Fresh Timber back in burma, Gurjan Face charm To reTurn!
apni baat
Rajiv Parashar, Editor
24
Good news comes from Myanmar for Gurjan Face Veneer lovers because, MTE has started supplying fresh hardwood logs to veneer peeling units. Although, initial prices are too high but is expected to come down to comfortable levels after April this year. That means returning charm of Gurjan Face Veneer with smoother prices and supply will help it catch up its share again.
I
ndian consumers have been in love for Gurjan face for making Plywood because of Red colour, hence producers always have been trying to offer Gurjan Face Ply. The terminology is very much common in Indian plywood industry, because, if a company pitches for better price and quality, it claims to use only Gurjan face. It is common perception among users and customers as well that quality plywood means, made with Gurjan Face Veneer so quality plywood producers mention Gurjan as their significant USP. Though, after 2014 logs exports ban in Myanmar changed the scenario. Slowly Gurjan face became out of reach or out of calculation for producers. Situation seemed positive after mushrooming new establishment of veneer peeling by Indian entrepreneurs in Myanmar and Laos, but after two years, the scenario reversed completely after decision taken by both countries as ban on logging and formulating new policy to promote domestic industry for making finished goods. Later during 2016-17, the Indian Plywood industry found the alternate of Gurjan Face, as Okume, PQ, Soloman and Indonesia Gurjan. At present, Gabon has emerged as the most sustainable destination for face veneer manufacturing, and 17 Indians have set up peeling units there. Among all, Gabon seems the most sustainable place for procurement of Face Veneers because Okume face getting larger acceptance among Indian customers. Presently the Non-Gurjan Face Veneers have captured approx 65 percent market share in India and it is further gaining due to improving acceptance by users, economical and sustainable availability and technically suitable for making good quality products. But good news comes from Myanmar for Gurjan Face Veneer lovers because, MTE has started supplying fresh hardwood logs to veneer peeling units. The sources say ‘there is an adequate quantity of fresh hardwood logs that are now available for veneer mills.’ Although, initial prices are too high but is expected to come down to comfortable levels after April this year. That means returning charm of Gurjan Face Veneer with smoother prices and supply will help it catch up its share again. In this February 2018 issue, there is a one 2 one interaction with Mr. Rajesh Mittal, MD, Greenply Industries Ltd along with Mr. Sanidhya Mittal published. It is a must read knowledge base interaction for industry and trade with a brief of the next plan of GIL. The telephonic interview of Mr. Nitin Mishra of GSEZ, who has replied on the opportunities and facilities at Gabon for veneer mills, is also worth reading. The Ply Reporter has started a New Column ‘A talk with Machinery Solution Providers’ for wood panel industry to keep the industry enthusiastically updated with new technology, beginning with an interaction with team ‘Star International’, a well known High Speed Spindless Peeling machines supplier. This issue also has ‘to the point’ news from ground on market changes, new launches, Industry & trade happenings etc. After this issue we are busy with ‘Indiawood 2018 Special Issue’ so book your ads, write ups and get the copy before you head to exhibition ground to get a brief preview from Reporters point of view. See you in Indiawood, Bangalore @ The Ply Reporter’s huge Pavilian, Stall:E506, Hall 4.
Rajiv Parashar (I appreciate your feedback. Write at plydata@gmail.com or SMS on 93106 12993)
www.plyreporter.com
The Ply RePoRTeR february 2018
viuh ckr
apni baat
cekZ esa ubZ fVEcj dk vkxeu] ykSV ldrk gS xtZu Qsl dk vkdZ’k.k!
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vc cekZ ls xtZu Qsl fofu;j dh pkgr j[kus okyksa ds fy, vPNh [kcj vkbZ gS] D;ksafd ,eVhbZ us Qsl fofu;j feyksa dks ubZ fVEcj dh lIykbZ “kq: dj nh gSA gkykafd vHkh izkIr ubZ ydM+h ds nke T;knk gSa] ysfdu mEehn dh tk jgh gS fd vizSy ds ckn jsV lgt Lrj ij vk tk,asxsA ;kuh xtZu Qsl fofu;j dk vkdZ’k.k ykSVrk fn[k jgk gS] jsV o lIykbZ csgrj gksus ls] ;s okil viuh cktkj fgLlsnkjh Hkh gkfly dj ldrk gSA
v
ius yky jax tSls fn[kus ds dkj.k] Hkkjrh; xzkgdksa esa xtZu Qsl fofu;j okyh IykbZ dh pkgr cuh jgh gS] ftlds pyrs IykboqM daifu;ka Hkh xtZu Qsl okyh IykbZ nsus dh Hkjld dksfZ”k”k djrh gSA Hkkjrh; IykboqM dkjksckj esa ;s /kkj.kk vke gS fd vxj dksbZ daiuh vius izksMDV ds csgrj jsV vkSj DokfyVh dh ckr djrh gS] rks daiuh ;s nkok djrh gS fd mldh IykbZ xtZu Qsl ls cuh gSA miHkksDrk vkSj xzkgdksa esa Hkh ;s vo/kkj.kk gS fd vPNh DokfyVh IykbZ eryc ml ij xtZu Qsl yxk gqvk gS] blfy, T;knkrj IykbZ daifu;ka Hkh xtZu Qsl dks viuh eq[; ekdsZfVax Vwy ds :Ik esa bLrseky djrh gSA gkykafd 2014 esa cekZ ls fVEcj fu;kZr jksd ds ckn] gkykr cny x,] vkSj /khjs /khjs xtZu Qsl mRikndksa ds ykxr [kpZ c<+us ls] mudh igaqp ls nwj gksrk pyk x;kA gkykafd 2014 ds ckn] Hkkjrh; daifu;kas us cekZ o ykvksl esa dkQh la[;k esa fofu;j fifyax ds dj[kkus yxk,] vkSj yxk fd xtZu dh pkgr cuh jgsxh] ysfdu nks lky ckn cekZ o ykvksl ljdkj ds fu.kZ; us ,d ckj fQj xtZu Qsl fofu;j dh lgt miyC/krk ij xzg.k yxk fn;k] cekZ us ykWXl dh dVkbZ ij jksd yxk nh] ogha ykvksl us fofu;j ds fu;kZr ijA bl nkSjku ;kuh lky 2016&17 esa Hkkjrh; IykboqM daifu;kas us oSfDyfid Qsl fofu;j ds :Ik esa vksdwesa] ihD;w] fjdkWu] lksykseu vkSj baMksusf”k;k xtZu dh [kkst dhA fQygky] xScu] Hkkjrh; IykboqM m|ksx ds fy, ,d lLVsuscy Qsl fofu;j cukus okys ns”k ds :Ik esa mHkjk gS] tgka 17 Hkkjrh; diafu;kas us fifyax ;wfuV yxkbZ gSA Qsl fofu;j ds ekStwnk fodYiksa esa xScu ,d lLVsuscy dsUnz ds :Ik esa LFkkfir gks jgk gSa] D;ksafd ogka fVEcj dh miyC/krk ds lkFk lkFk Hkkjrh; IykboqM cktkj esa ogka ls vkus okys vksdwes Qsl fofu;j dh Lohdk;Zrk c<+ xbZ gSA orZeku esa uu&xtZu Qsl fofu;j dh Hkkjrh; cktkj fgLlsnkjh rdjhcu 65 Qhlnh gks xbZ gS] vkSj ;wtlZ esa Lohdk;Zrk] fdQk;rh vkSj blls cuh IykbZ] rduhdh :Ik ls lVhd gksus ds pyrs] bldh cktkj fgLlsnkjh c<+ jgh gSA ysfdu vc cekZ ls xtZu Qsl fofu;j dh pkgr j[kus okyksa ds fy, vPNh [kcj vkbZ gS] D;ksafd ,eVhbZ us Qsl fofu;j feyksa dks ubZ fVEcj dh lIykbZ “kq: dj nh gSA lw= crkrs gS fd dkQh ek=k esa u, xtZu ykWXl dh miyC/krk gS] tks ogka yxh fofu;j ;wfuV dks lqpk: :Ik ls feysxkA gkykafd vHkh izkIr ubZ ydM+h ds nke T;knk gSa] ysfdu mEehn dh tk jgh gS fd vizSy ds ckn jsV lgt Lrj ij vk tk,asxsA ;kuh xtZu Qsl fofu;j dk vkdZ’k.k ykSVrk fn[k jgk gS] jsV o lIykbZ csgrj gksus ls] ;s okil viuh cktkj fgLlsnkjh Hkh gkfly dj ldrk gSA vc bl Qjojh 2018 vad dh ckr djsa rks blesa xzhuIykbZ ds ,eMh Jh jkts”k feRry ds lkFk muds iq= Jh lkfu/; feRry ls [kkl ckrphr izLrqr gS] tks IykboqM dkjksckj ls tqM+s yksxksa ds fy, Kkuo/kZd gS] lkFk gh xzhuIykbZ dh vkxs dh dbZ ;kstukvkas dh ?kks’k.kk,a gSA xsckWu ,lbZts ds Jh fufru feJk ls nqjHkk’k ij gqbZ ckrphr ds vk/kkj ij lk{kkRdkj izLrqr gSa] ftlesa mUgksaus xsckWu esa laHkkoukvksa o lqfo/kkvksa ij izdk”k Mkyk gSA IykbZ fjiksVZj us ,d oqM iSuy lsDVj ds fy, e”khujh lIyk;lZ ls ckrphr dk ,d VkWd dkWye “kq: fd;k gS] vkSj bl vad esa gkbZ LihM LihaMysl ihfyax e”khu ds lIyk;j daiuh LVkj baVjus”kuy dh Vhe ls ckrphr izLrqr gSA blds vykok] bl vad esa cktkj ds orZeku gkykr dh fjiksfVZax] ubZ ykap] baMLVªh o VªsM dh dbZ xfrfof/k;ka vkfn izdkf”kr dh xbZ gSA bl vad ds ckn] bafM;koqM 2018 ij IykbZ fjiksVZj dk Lis”ky vad vk jgk gS] ftlesa iwjs m|ksx dh O;kid fjiksVZ ds lkFk lkFk ,DthfcVlZ dh ubZ ykafpax dh [kcjsa lekfgr jgsxhA bl vad esa viuk foKkiu vkSj viuh daiuh ds u, ykap lacaf/kr fjikVZ t:j cqd djk ysaA eSa bafM;k oqM esa IykbZ fjiksVZj isosfy;u esa lHkh dks vkeaf=r djrk gwaA jktho ikjk’kj
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THE Ply REPoRTER february 2018
E-way Bill to Boost markEt for organizEd playErs, But glitchEs makE roads Bumpy
NEWS WATCH
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rganized wood panel manufacturers were jovial with the announcement of E way bill from Feb 1st. The wish to be organized category were also smiling across building material segment including wood panels and furniture items. It was observed that price gap between organized and unorganized players in plywood and decorative laminate category has shrunk within a month of announcement of state wise E-way bill implementation like in UP, MP, Karnataka etc. But, the landed price gap has widened due to unorganized players are back to old ways post differing E- Way bill system announcement. The GST collection has reversed upward but building material segment is not seeing any light of hope. The E-way bill for inter-state movements implemented from February 1 has been suspended after the crash of GST portal due to heavy load and rush for filing. Currently those players who were prepared for GST and hoping for a positive impact are on backfoot because of cheaper products, hence losing their markets. The confusing scenario is a troublesome phase for organized players till E-way bill is fully implemented. At present every product category is witnessing largely devided in two type i. e. ‘With full GST’ and ‘Without GST’. The unbilled materials are very cheap hence badly impacting the balance in markets. Currently road to level playing field looks bumpy till GST is completely implemented. The organized wood panel companies of different states have urged their states to implement E-way bill in their state so that undue advantage taken by unorganized players bypassing on tax gains and reducing prices
without any basis can be kept under check. The Ply Reporter believe that actual gain will be reflected once it will be implemented in entire country which is expected by June 2018. Experts and Industrialists are very much hopeful after implementation of E-way bill system and opined that the real benefit of GST will come in last quarter of FY 2017-18. After the interstate E-way bill, the intra-state movement is to be implemented from June 1. According to government officials, states have been given the option of choosing when they want to implement the intra-state e-way bill between February 1 and June 1. 13 States such as Andhra Pradesh, Arunachal Pradesh, Bihar, Haryana, Jharkhand, Karnataka, Kerala, Puducherry(UT), Sikkim, Tamil Nadu, Telangana,Uttar Pradesh and Uttarakhand have agreed to implement e-Way Bills for Intra-State movement of Goods with effect from 1st February 2018.
THE Ply REPoRTER february 2018
bZ&os fcy ls vkWxZukbt czkaM~l dks gksxk Qk;nk] [kkfe;ka cu jgh pqukSrh
NEWS WATCH
jojh 1] 2018 ls bZ&os fcy ykxw gksus dh ?kks’k.kk ls vkWxZukbt Iys;lZ esa [kq”kh dk ekgkSy Fkk] vkSj vkxZukbt cuus dh vksj vxzlj daifu;ka Hkh iqjs fcfYMax eVsfj;y lsxsesaV ds lkFk lkFk oqM iSuy ,aM QuhZpj esa Hkh [kq”k FkhA ;g mEehn dh tk jgh Fkh fd IykboqM vkSj MsdksjsfVo ySfeusV ds v‚xZukbTM vkSj vuvkxZukbTM Iys;lZ ds izksMDV dh dherksa esa varj de gksxk tSlk fd ;wih] ,eih] dukZVd esa ?kks’k.kk ds ,d ekg ckn gqvk] ysfdu dherksa esa varj b&os fcy ds ykxw gksus esa nsjh ds ckn vkSj c<+ x;kA th,lVh dysD”ku c<+k ysfdu fcfYMax esVsfj;y lsxesaV ls dksbZ vk”kk dh fdj.k ugha fn[kkbZ ns jgh gSA c<+rs ncko vkSj yksM ds dkj.k th,lVh iksVZy ØS”k gksus ds ckn] varj&jkT;h; ewoesaV ds fy, 1 Qjojh ls ykxw gksus okys bZ&os fcy dks fuyafcr dj fn;k x;k gSA orZeku esa] os Iys;lZ tks th,lVh ds fy, rS;kj Fks vkSj ldkjkRed çHkko dh mEehn dj jgs Fks] vc cktkj esa lLrk mRiknksa dh otg ls cSdQqV ij gSa] blfy, mUgsa vius cktkjksa dks 30 [kksus dk Mj gSA bZ&os fcy iwjh rjg dk;kZfUor gksus rd ;g Hkzfer ifj–”; laxfBr Iys;lZ ,d dfBukbZ okys nkSj esa gSA orZeku esa gj mRikn Js.kh nks çdkj ^iw.kZ th,lVh^ vkSj ^th,lVh ds fcuk^ ds esVsfj;y esa caVk gqvk gSA fcuk fcy dk esVsfj;y cgqr lLrk gS blfy, cktkj esa larqyu dks cqjh rjg ls çHkkfor dj jgk gSA th,lVh iwjh rjg ls dk;kZfUor gksus rd ,d leku Lrj cukus dh jkg vklku ugha fn[krh gSA fofHkUu jkT;ksa ds laxfBr oqM iSuy daifu;ksa us vius jkT;ksa ls bZ&os fcy ykxw djus dk vkxzg fd;k gS rkfd vlaxfBr Iys;lZ }kjk fcuk fdlh vk/kkj ds ewY;ksa dks de dj
mldk ykHk ysus dh fuxjkuh dh tk ldsA IykbZ fjiksVZj dk ekuuk gS fd okLrfod ykHk rc ifjyf{kr gksxk tc iwjs ns”k esa b&os fcy dk;kZfUor gks tk,xk] tks twu 2018 rd visf{kr gSA fo”ks’kKksa vkSj m|ksxifr;ksa dks bZ&os fcy flLVe ds dk;kZUo;u ds ckn cgqr mEehnsa gSa vkSj mudk dguk gS fd th,lVh dk okLrfod ykHk 2017&18 dh foÙkh; o’kZ dh vafre frekgh esa feysxkA varjjkT;h; bZ&os fcy ds ckn] jkT; ds Hkhrj bls 1 twu ls ykxw fd;k tkuk gSA ljdkjh vf/kdkfj;ksa ds eqrkfcd jkT;ksa dks baVªk&LVsV bZ&os fcy dks ykxw djus ds fy, 1 Qjojh vkSj 1 twu ds chp dHkh Hkh fodYi pquus dk ekSdk fn;k x;k gSA vka/kz çns”k] v#.kkpy çns”k] fcgkj] gfj;k.kk] >kj[kaM] dukZVd] dsjy] iqMp q js h ¼;wVh½] flfDde] rfeyukMq] rsyx a kuk] mÙkj çns”k vkSj mÙkjk[kaM tSls 13 jkT;ksa us bls 1 Qjojh 2018 ls ykxw djus ij lgefr O;ä dh gSA
THE Ply REPoRTER february 2018
New Timber iN myaNmar, CosTly aNd uNCerTaiN
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NEWS WATCH
yearlong ban on logging across Myanmar was lifted at the end of March 2017, and now the Myanmar government says it is on its way to bringing verifiably legal timber to the international market. During ban, MTE just operated upon existing stock of timber to meet demand, but the ban could not be effective completely as Myanmar authorities kept catching thousands of tons of illegal timber even during the duration of the ban. The timber kept entering China borders, processed and sold to business there on. So far, the Myanmar government has not released a detailed plan on how it will improve the documentation process to sufficiently mitigate the risk of illegality.
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Now MTE is believed to be inviting ministers, MPs and civil-society organizations observe the whole process – from cutting down the trees to transporting – starting from the 2017-18 fiscal year with an aim to produce teak with credentials. The one-year national logging ban is now over, that has led various Indian companies to shut their factories and incur heavy losses who invested in Myanmar when Myanmar invited them to put up plants while ban was announced. India is a significant importer of Myanmar timber products, and over 20 entrepreneurs have invested into timber manufacturing business there. MTE has started distribution of logs to peeling units though prices of fresh logs. Indian veneer peeling mills are hopeful to get sufficient quantity of logs for their smooth operation after April onward. The sources say that the cutting of logs are going in full swing under the guidance of government authorities after lifting one year ban on logging. A veneer producer confirms that good quality fresh timber is there now, but
at very high price. Although, the prices may dive down when supply will improve after March believe other producers. With domestic wood production, businesses are still in their infancy. Myanmar’s income from timber exports has dropped dramatically in the wake of the ban. Myanmar is said to have lost an enormous 10.8 percent of its forest cover between 2010 and 2015, mainly due to illegal smuggle. The MTE, a state-run body that is meant to control Myanmar’s timber trade promise to eliminate the use of contractors in the timber harvesting process, which is certainly complicated for now. “Ministry of Commerce statistics show exports in 201314, the last fiscal year before the ban came into effect, were almost US$950 million (country’s top income earners). Last year in 2016-17, it dropped to $142 million, while only $90 million in exports is forecast for 201718,” said U Aye Cho Thaung, Deputy General Manager of the state-run Myanmar Timber Enterprise.It is believed that extraction in 2017-18 will be far lesser than Annual Allowable Cut as usual. The Ministry of Natural Resources Environmental Conservation has allowed MTE to fell 50 percent of the AAC for teak and 30 percent for hardwoods, tells sources, and is creating a system to identify source of the timber that is cut. The overall scenario in Myanmar do not look promising from the Indian face veneer requirement point of view. The dependency on Myanmar Gurjan has reduced and is expected to remain low because of growing acceptance of Okume, Makai, Reconstituted, PL and other species. The share of Gurjan face is already below 40 percent now of which a significant quantity is being supplied by Indonesia.
The Ply RePoRTeR february 2018
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â&#x20AC;&#x2DC;After e-wAy bill, GSt will enAble deAlerS to tAke input creditS which will encourAGe them to Sell brAnded productS for better mArGinâ&#x20AC;&#x2122;, -says Mr Rajesh Mittal, MD, Greenply Industries Ltd Mr Rajesh Mittal sees a significant traction in plywood growth led by market share gains from unorganized segment after implementation of E- way bill, hence to cater the needs, Greenply Industries Ltd (GIL) is coming up with new incremental capacities for plywood, setting up huge manufacturing facility in Uttar Pradesh, which will start production by next financial year. He expects higher growth for branded plywood segment of 15 to 18% in FY 202123. The Ply Reporter talked to Mr Rajesh Mittal, on recent market developments and activities after GST and his future plan for the growth of GIL. Excerpts.
The Ply RePoRTeR FEBRuaRy 2018
How do you see Green ply benefiting from the reduction of GST rates from 28% to 18%?
What will be the impact of GST reduction on furniture industry in India? I clearly see that furniture industry as a whole will continue to grow and along with reduction of GST rate other factors like governmental initiatives such as affordable housing for all by 2022 , make in India , development of smart cities , focus on ease of doing business will also play a vital role in driving its growth. How do you see e-billing coming and how will it impact the whole system? What are the changes being you expecting? E-Way billing forms an important part of GST implementation and its introduction from 1st Feb’18 will enforce stricter compliance on the unorganized sector. Overall I can say that its implementation will be positive for organized players as this will enable them to compete on a more level playing field. What do you think a dealer chooses ‘a brand or margin’? What is his priority? I strongly feel that no dealer wants to sell something where quality of the products and its after sales service are not certain. Dealer will any day choose a brand provided they get good margin in the same. In today’s market environment consumers have become more
Self-branding has become a trend but survival will always be for the fittest and one who can deliver right quality at right price along with good after sales service only will be able to sustain.
Consumers at the bottom of the pyramid mostly purchase unbranded and local products where quality and getting right value of money is not certain. Hence seeing the need of the hour we launched “Jansathi” at a very competitive price point which will not only offer the consumers a quality product from the house of Greenply but will also give opportunity to consumers to use branded plywood at the same price range. aware about the quality features of different products and they are getting more and more inclined towards buying the right quality product at the right price. Hence from growth perspective dealer’s priority will always be to sell branded products. GIL has become very proactive in other product categories of ‘Ecotec, Optima Red’ etc. You have launched a new brand ‘Jansathi’ recently in a category that is highly crowded and too much competition from unorganized category, so what is your view on it? GIL have always been very proactive across all product categories including Ecotec, Optima red etc and we offer products across all price range basis high-end , mid-market and economical segments requirement. If we assume the market size of plywood industry in terms of a Pyramid then you will observe that the bottom of the pyramid is a category which is always highly crowded and catered by local brands, consumers at the bottom of the pyramid mostly purchase unbranded and local products where quality and getting right value of money is not certain. Hence seeing the need of the hour we launched “Jansathi” at a very competitive price point which will not only offer the consumers a quality product from the house of Greenply but will also give opportunity to consumers to use branded plywood at the same price range which they paid while buying local products. Will not the cheaper products eat up the share of your high value offerings, that actually erode the top quality or brand market share a bit? Will it not lead to slowing the growth of top value aided product of a lead branded company? www.plyreporter.com
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As the GST rates has been reduced from 28% to 18% we foresee a huge opportunity coming up for Greenply in coming days. Demand will further increase as the price gap between the branded and unbranded products will get further narrowed down and being an organized player, we are passing on the benefit of lower tax rate to the consumers. We expect a considerable growth of 10 % –12 % in next 2 years followed by higher growth of 15% - 18% in FY 21 to FY 23 in plywood category which would be largely led by market share gains from the unorganized sector and gradual recovery in real estate sector.
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The Ply RePoRTeR February 2018
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DURO Opens exclUsive expeRience centRe in new Delhi Four more centers to be opened in different cities in the next three years, says Mr Akhilesh Chitlangia, CEO of Sarda Plywood Industries Ltd
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arda Plywood Industries Ltd (SPIL) opened a DURO Exclusive Experience Centre at Kriti Nagar in New Delhi. In an opening ceremony organized on February 2, 2018 the experience center has been inaugurated in presence of a number of industry conglomerates and dealers/distributors of the region. Sarda’s flagship brand DURO is known for offering high quality premium plywood products and has stood among top 5 plywood brands in India. The recently opened Experience Centre is unique, different and first of its kinds in India with largest veneers collections on display. Talking about the exclusivity of the Experience Centre Mr Akhilesh Chitlangia, CEO of Sarda Plywood Industries Ltd said, “We are finding that customers do not have much knowledge about veneers and it is as different as marble applications. The whole concept for
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this experience centre is that customers can come and see the products and its different applications in a clean environment and select them. It is just to increase the buying experience of consumers.”
that area. What is different we have been giving here from others is that in India we have the largest range of natural veneers collection with over 250 varieties. Other showrooms do not have large display that we can offer to our clients. We wish to give our customers whole lot to see and choose from them. The showroom is about 2400 sq ft and the godown is around 1800 sq ft where we have around 25000 sheets in stock. It is the largest natural veneer godown in India. This a proven concept and we are exploring for such kinds of experience centre in other cities also. We plan to open up at least four such showrooms in next three years possibly. The natural veneer market is growing and it will continue to grow because people have understood the benefit and beauty of natural veneers v/s recon veneer and laminates.”
He further said, “This is not a sales point as we sell our products with our channel partners. This centre will facilitate them to select the material and orders will be shifted to the concerned dealers/distributors of
Present on the occasion Mr Prashant Maheshwari of Ventura said, “Our products results are showing fantastic, we are at the 25% more than last year’s. What we feel is with a kind of exclusivity, and most importantly we have the materials available with us. Most of the showrooms with their display don’t have the material and many people if have the material do not have the display due to which the end result is no combination in the industry.”
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The Ply RePoRTeR february 2018
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R.N.I. DEL BIL 2000/02574 Posted Regd No. DL(S)01/3391/2017-19 Licensed to Post without Pre-payment U(S)-15/2017-19