Kalpena have always focused on expanding its reach by servicing new geographies as well as developing new products continuously. The testimony of its capabilities comes from, their regular and consistent exports to almost 24 countries of various products. In a warm interaction with Mr. Narrindar Suranna, chairman and managing director, Kalpena Industries Ltd, team WCI explored how the company has tried to improve its feat with every passing month, quarter and year. Edited excerpts
Wire & Cable India: Tell us about your journey from inception to being declared as “compounder of the month” in 2012?
Narrindra Suranna: Kalpena Industries Limited made a modest beginning in the field of polymer compounding in early 70’s in Kolkata. The compounding industry had players from organised sector having backward integration and also big research and development back up. Kalpena focused since beginning on 5 principles to grow. These 5 principles are focus on research and development, scale of operation, customer satisfaction, investing continuously in world class hardware and nurture human resources. Unrelanted efforts in the guidance of these principals have helped us to attain the premier position in polymer compounding field.
WCI: Kalpena is now launching an ambitious project of expansion to diversify product concentration risk and take advantage of in-house compounding knowledge. Elaborate on this project?
NS: Very recently we have completed a major expansion in Surangi (Union Territory of Dadra & Nagar Haveli) with an investment of INR 1400 million. This expansion is also guided by our core-principle as it will help us to scale up our capacity to international size. It will also give us an opportunity to produce new products which have been developed by our R&D team in last couple of years. This effort will result into providing better service to our existing customers and also in identification of new customers. This project will not only add capacity to our existing line of products but also will help us to introduce new products like variety of semi conducting compounds and also halogen free flame retardant grade for our customers in India as well as abroad. This expansion will also help us to consolidate our manufacturing sites and avail the benefit of the scale of operation.
WCI: What plans does KIL have for achieving volume growth and for raising its market share in near future?
NS: As the demand for good quality product is increasing in domestic market and customers are willing to shift their requirement to local suppliers against imports. Kalpena considers this as a big opportunity. We hope that we will be able to improve our market share in India by offering advanced variety of existing products. We also will be able to achieve volume growth and market growth by higher penetration in the product segments wherein import share is very high for example medium voltage insulation and semi conducting range of products. We are confident of increasing our volume and market share in international markets based on brand recognition. The product approvals already with us will also help us improve our business.
WCI: What are your thoughts on the Indian cable industry, its challenges and opportunities?
NS: Indian cable Industry fortunes are linked to capex cycle and also to the policies of the government. Last couple of years have been very challenging for the industry due to slowing capex, poor financial health of discom and also increased imports. All these facts still remain a big challenge for the industry. Availability of capital for expansion, technology up-gradation and lack of FDI interest are also major challenges. These are the challenges which may trouble the industry in short to medium term but there are big opportunities lying ahead which may last for years together. The moment we see revival in capital expenditure and revival of infrastructure spending, it will generate huge demand for cable industry. We feel that cable industry is much more competent and equipped to take full advantage of this opportunity due to capacity build up and also with technology tie ups to make high end products.
WCI: What kind of R&D activities does KIL takes at its facilities. Highlight some of the new product developments that have taken place or will take place at KIL?
NS: Kalpena is involved in research and development with twin objective of improving the current product offered by it as well as development of new products. Currently we have launched semi conducting grades for medium voltage cables for domestic as well as international market which includes strippable semi conducting grades too. Now we are working on development of high voltage compounds for insulation as well as semi conducting.
