The latest news from Fong’s
Fong’s reports a highly successful participation at ITME 2012 (December 2 -7, 2012) with thousands of visitors per day (the most frequented booth at ITME!) and an excellent booth location at the entrance of Hall 6. Exhibited were JUMBOTEC High Temperature Dyeing Machine and ALLWIN PLUS High Temperature Package Dyeing Machine, both were sold to KPMProcessing Mill Private Ltd and Banswara Ltd on the spot
Fong’s sees a huge potential in India’s knit processing sector, because it is underdeveloped, and therefore there is still a large room for growth. Traditionally, India has not been aggressive in knits, but rival Bangladesh in turn has grown exponentially in knitting and processing, however hampered over the last two years because of an energy crisis and the end cannot be foreseen. Therefore, worldwide buyers are increasingly focusing on the Indian market and the knit processing industry. Fong’s has a number of new ongoing processing projects coming up in the eastern part of India near Kolkata.
Another highlight was the total acquisition of German Monforts as of December 1, 2012 and this message was conveyed in person by Ji Xin, Fong’s COO and Executive Director, to ITME 2013. The strategic thinking behind is to efficiently utilise the technology and know-how of Monforts in dry and wet finishing processes across the Fong’s Groups.
The second phase of Fong’s Zhongshan project has just been kicked off and should be completed by the end of 2014, it will become the largest machinery manufacturing facility for Fong and it is the most important and strategic move by the Group. Fong’s has acquired a total area of 700000 m2 of land and the construction surface entails around 400000 m2. The first phase has been completed around two months ago (120000 m2) and will serve mainly the joint venture with Monforts, existing already several years. The project will reduce the cost of manufacturing and also the state-of-the-art automation will also contribute to efficiency and cost benefits.
Bangladeshi knit Group Knit Concern Ltd. (KCL), Bangladesh, catering to European apparel brands, was founded in the 1990s and is today an integrated textile and apparel manufacturing group with a staff of over 8500 people and annual exports in the order of USD 70 million. The three factories – Knit Concern, KC Apparels and KC Print are catering to such customers like H&M, Zara, Okaidi, Jacadi, etc. The concern is dedicated to quality, commitment to excellence, adoption of state-of-the-art technology, and is focused on customers’ satisfaction. The company has a partnership with Fong’s for more than a decade (13 years) and has installed THEN Airflow dyeing machine and Goller continuous washing range. KCL has installed 160 Fong’s machines for both fabric and yarn dyeing, finishing. Joynal Abedin Mollah, President of KC Group states: “Some of the dyeing machines are still working, however, to ensure “Greener Production” and upgrading technology, we have to replace old machine by lower liquor ratio dyeing machines from Fong’s in order to save energy and reduce emission. Fong’s TEC series liquor ratio is similar to THEN Airflow dyeing machine, however the features of TEC series have been upgraded which is suitable for sensitive fabrics and suits our European customers.
Despite the hindrances in the energy supply, the textile and clothing industry of Bangladesh could expand its export position, because it is in advantageous position compared to the competitors in China, India, Cambodia, Sri Lanka, Vietnam, etc., adds Mollah and specifies that this is mainly due to the competitive cost of labour in Bangladesh.
Since KCL invests in new production units and with a focus on internationally growing demand, one of the buyers, H&M is to expand its volume with the Bangladesh firm. KCL Group supplies actually around two million pieces to H&M, and H&M is contemplating to place a sourcing order of six million pieces. This would imply the need for three more factories, but only if the energy bottlenecks can be eliminated by the Bangladesh government. In that case a large investment in new equipment will take place from the textile and clothing industry of Bangladesh.