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Talking Point | January 2018

"We are No. 1 in our field"

The swan in the Nestling logo stands for elegance, purity and inspiration, says Chandrasekaran PS, CEO, Nestling Technologies, in an interaction with Karthik Muthuveeran and Sripathy B of ITJ. Nestling has almost 70 per cent market share in Tamil Nadu, and he is highly optimistic about the Tamil Nadu market. He adds, “In Tamil Nadu, we should able to touch the 90 per cent mark within a year or so. In India, on an average, we should be having 60-65 per cent market share in contamination detection systems. I can proudly say that we are No.1 in our field right now.”

Excerpts...

Why do you think people should opt for Nestling’s technologies? What makes your product unique?

We always focus on what a customer needs, and we will not focus on what we have. We are always the first choice of our esteemed customers, and we are taking further initiatives to fulfill their needs. There are two categories of contamination – white polypropylene (PP) and colour contamination. In white PP, I can proudly say that we have the best product in the market. Whereas, compared to other products available in the market, we provide the quality assurance, while none of the other competitors don’t provide.

Colour contamination is also like that. There are some categories, which cannot be identified by our competitors, but we are able to identify them. Apart from this, we are contracting with so many companies to impart knowledge and to educate customers on handling the technology. So as far as top-level, middle-level or lower-level groups are concerned, everyone gets the same knowledge. We have found out that there is a gap in lower level and higher level. So there is a need to educate them.

These are some of the reasons why some of our clients opt for Nestling products.

How do you look at the market for your products in India and globally?

If we talk about the global market then I think India is No.1 in offering products for the contamination market. If you succeed here, one can succeed anywhere in the market.

Are there any products that you have launched recently? Any new products in pipeline?

We have introduced AC drives under the Nestling brand. We are continuously working towards R&D, which is our main forte. In fact, we are working on so many products that will be launched in the next one year. I have a team who are fully engaged to bring in new products for the next one year.

In future, we may see a different versions of iScan. We have been receiving so many inputs from our customers. We are working towards them.

Which are your stronger export markets? Any plans to expand, if any?

We have been concentrating more on the Bangladesh market for the last one year or so. We do have a sizable installations there. We have been getting a good response of our products in the Bangladesh market. Our is the only product that is receiving good

Other foreign companies don’t give due respect to the Indian products. They will opt for only German-made products. I myself have encountered many such bad experiences so far. It took us more than a year for me to change their attitude. Now we have agents who will be able to penetrate those untapped markets.

Skill-wise, we are the best; however, we need to learn from foreign companies towards treating the customers. One may be a very knowledgeable person but treating the customer is very different. We need to learn some of their methodology to improve ourselves. Technically-speaking, our people have good skills when compared to the western people.

Apart from Bangladesh, we are now focusing on Indonesia and Vietnam, and we are working towards it. In fact in this financial year itself, you may see some results.

Chinese products are flooding the Indian market even in the field you are in. What is your take on this competition?

As far as my observation is concerned, theirs is more volume-based business. Chinese players only look after volumes.

Secondly, the quality parameter will be completely different. If you take some other industry like garmenting, that industry will have a market for all categories and each and every segment. But the same is not the case in contamination industry. We have specialised products, where the Chinese companies cannot overpower us. They can do it, but the product’s volume and size will be very less.

As an industry person, I can see Nestling growing each and every year. In terms of figures, how much market share do you hold?

In 2001-2002, we had almost a zero market share when the products were launched. In 2010, when we launched iScan, our share share was still negligible. It was the year 2014, which was the turning point for us. We gradually started getting some orders.

In Andhra Pradesh, our market share is pretty decent. In fact, in the last two years, only two installations have gone to our competitors. We have almost 70 per cent market share in Tamil Nadu, and we are optimistic about the Tamil Nadu market. In Tamil Nadu, we should able to touch the 90 per cent mark with a year or so.

In northern region, the market is not moving much for the industry; whereas in the western regions like Gujarat and Maharashtra, we have around 50 per cent market share.

In India, on an average, we should be having 60-65 per cent market share. I can proudly say that we are No.1 in our field right now.

In overseas market, we have only 2-3 competitors. Competing with them is easy for Nestling because our market is very niche. But competing with domestic players are quite difficult.

How do you look at 2018 as a year for Nestling?

The smiles are returning back in the textile industry. Things have started to move on. Our entire team is enjoying the success of the company.

On first day itself, we got good responses from Texfair. Earlier, in other exhibitions, we used to only demonstrate iScan, but here at Texfair, we are exhibiting our entire range of products.

“The World of infinite Possibilities” and “Providing Healthy Experience” are two themes for us at Texfair 2017. We have to showcase that Nestling has the capacity to make all possibilities. We have orders which will make us fully engaged for the next one year.

Does the Indian government provide enough support to the industry you are in? If not, what are your suggestions?

They are not all taking into account the apathy of the industry. The textile industry, despite being the oldest and the second largest industry in India, is the least considered industry. There is no proper guidance. If you see, in China, the government is addressing each and every issue faced by the industry. It is not the same in India. In fact, even the big issues are not addressed.

How was the response for Texfair 2017 so far?

The response for us has always been good at Texfair. For us, in any exhibition, we have been getting a good response. We are getting overall appreciation from our customers.

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