How Century Plyboards' New Andhra Pradesh Facility Is Powering Foray Into Export Markets
With its Andhra Pradesh manufacturing unit coming online, Century Plyboards has made inroads into newer export markets like Europe, Australia and Israel.
Century Plyboards (India) Ltd. is ready to ramp up its export business with enhanced capacity from its new unit in Andhra Pradesh.
Speaking to NDTV Profit, Executive Director Keshav Bhajanka shared plans to make inroads into newer export markets to drive growth.
"The most substantial part of our exports is in the form of laminates. Till now, in laminates, we were restricted by size constraints. What that means is all our products were 8x4 feet. However, the export market requires different sizes, which are 10x4.25 feet, and 14x6 feet," he said.
With Century Plyboards' Andhra Pradesh unit coming online, Bhajanka says this issue has now been resolved.
"Now, these two sizes we have finally operationalised in our new Andhra plant. With these, we have been entering into newer markets. For instance, the European market, Australia, and Israel. So, we have been adding a lot of markets, " he explained.
Bhajanka added the company is very bullish on growth in this segment.
"I think we have been handicapped by the delay in the facility coming up, but now we are in a good position to capitalise on the strong demand in exports," the top executive said.
On being asked about his opinion on the current market prices of timber, Bhajanka said the prices have more or less reached an equilibrium.
"In terms of raw material pressure, it was there till very recently. The raw material prices, when we started conceptualising the new Andhra Pradesh unit about 2.5 years ago, were Rs 3/kg. Timber prices have shot to Rs 7/kg. A substantial increase has taken place," he said.
"But now I think there is a little bit of equilibrium there. Prices aren't reducing but at the same time, they don’t seem to be increasing further, which bodes well for us going forward," the top executive added.
