Though the home segment in textiles is a relatively small portion of overall exports from Bangladesh, many in the country believe that it is a future growth area and in the first quarter of the running financial year, exports of home textiles registered a growth of 8.17% from the country, as against growth of 3.8% in garments during the same period, giving credibility to the belief. A frontrunner in this segment, Noman Group of Industries has recently entered the bath segment, manufacturing all types of towels ranging from beach to bath in an effort to capture the niche market, confident that it can stand up to well established players in Pakistan and India…
What was initiated as a trading company in Dhaka in the early 70s is today a vertically integrated textile group, considered among the largest groups of the region in the textile sector. Exporting to brands like H&M, M&S, IKEA, Walmart, ASDA, Carrefour, Aldi, Lidl, Otto, JYSK in Europe and North America, the Noman Group is committed to continuously invest on new categories for growth. “Terry towels and other home products have always been present in Bangladesh, but in small quantities, and it is only now that these segments are blossoming in the region,” says Nurul Islam, Chairperson, Noman Group of Industries.
- By July 2013, Noman Group will come up with a new denim plant that will increase their capacities to 6 million metres per month in denim
- Poised for growth, the company expects to have a turnover of US $ 200 million by 2013-14 from their denim and terry towel segments combined.
- Recently, the company setup an ETP plant to reduce wastage and keep a check on water consumption
- The group imports about 7,000 tonnes of cotton every year, with the predicted growth the quantity is expected to reach 9,000 tonnes by 2013
Despite having all the equipments in place to manufacture terry towels for two long years, the unit became fully functional only in the first half of 2012, after the gas problem of the region was resolved. Producing around 70 tonnes of terry towels per day, the speciality of the group is multi fibre towels. Very recently it has ventured into yarn dyed terry towels that have picked up very well with the buyers and have become the niche product for the company. “Apart from the regular products and 100% cotton products, we are also producing modal fibres, CBC and Pima cotton bamboo products,” shares Nurul.
The company has made investments in its preparation to face strong competition from Pakistan and India, both well known for terry towels. “Even as Pakistan leads the way in terry towels, with their bulk production and cheaper prices and India has a number of very strong setups like Welspun, Trident and Abhishek Industries running on air jet looms, we are geared up to create a niche for our products in the market. For the same we are using the latest air jet looms from Tsudakoma, Toyota and Dornier, so as to manufacture the best quality.” Whilst the company is happy with the workforce in Bangladesh, Nurul plans to hire a technical team from Pakistan and India for the segment as he believes that the skill level of people working there for terry towels is higher due to the size of their industries and experience in the field.
Though terry towels are a new addition for the group, they have been in the field of home textiles for the past 14 years working with product categories like bed sheets, bed covers and table covers, with a production capacity of around 10 million units per month. “Our home products go to buyers like IKEA, H&M, Walmart, K-Mart, Target and other big buyers throughout the US, so quality has always been our top concern, as these buyers know the difference between the good and the best,” avers Nurul. In order to maintain quality, Nurul personally keeps a vigilant check on all the units of the group, which are strategically built in and around Dhaka at convenient distances for easy access. The group currently has 30 units with around 50,000 employees. In textiles, the company has 4,072 spindles, 14,000 rotors for open spinning and around 4,500 looms. “We are not only big players in apparels and home textiles, but we are also by far the biggest terry towel manufacturers in Bangladesh, working with the latest technology. There are some other factories manufacturing terry towels, but their capacities are not as big as ours. Also we are working with wider width machines which is uncommon in Bangladesh,” claims Nurul.
Working with a business model integrated with social and environmental responsibilities, the group has made huge investments for the same. From setting up an ETP plant to reduce wastage, to running a non-profit social welfare organization named IAWT for the welfare of its workers. The group is constantly moving on a strong ethical path and has already achieved certificates of ISO: 9001, OekoTex, BRC Global Certification, as also endorsements from brands like IKEA ASDA, Walmart, H&M, Disney and others.
Poised for an overall growth, the Noman Group with a turnover of about US $ 300 million has 250 expats from India, Pakistan, Philippines and Sri Lanka working for the company. The group is a perfect example of a team committed to give good results. “We are 50,000 people working together towards a common goal of growth. To help me achieve my vision, my sons and daughter have also joined the business, while my sons look after the production and marketing operations, my daughter is involved in marketing. Today, I’m merely a caretaker with my family carrying forward my work,” concludes a delighted Nurul.