How is the market scenario after the covid era?
The market is good and recovery is better now. Our sales have improved and it has surpassed the pre- covid level. Secondly, the projects that were on hold earlier are started so there is good demand. Thirdly, the dealers who were non-serious are out of the market because the genuine buyers are looking to work with genuine people. This is also a big change in the market. At the manufacturing level also the players are working with selective dealers/ distributors rather than wholesales to which earlier they were given priority in stiff competition.
They should do the credit control that we are also going to take very soon. Our purchasing is happening in cash that was earlier in credit. At the retailers' level also there would be some correction in the market because tightness is everywhere. In this way, the defaulters will be out of the market and genuine parties will remain there with their goodwill.
What impact of price rise of products do you see in the market?
The impact will definitely come as most of our products are petroleum-based like resin, film, phenol, melamine, etc. Timber prices are also increasing on daily basis. If there is a shortage the price rise in eminent. The transportation cost has increased from point to point so the price increases at every step. Prices are being quoted on daily basis. It has also been affected by the import cost of containers.
Are you able to increase the price to the extent by which the price of products is rising?
No, we are not able to increase the price to that extent. The volume of business has definitely increased but the margin and profitability have been squeezed. It is definitely that we are also choosy but the credit is increasing in the market. In the coming time, we have to convey the credit limit to even good to good parties. The situation is coming like that, despite that, we are not getting any support from the government.
In the coming time which types of dealers/distributors will remain in the market and what should they do?
They should do the credit control that we are also going to take very soon. Our purchasing is happening in cash that was earlier in credit. At the retailers' level also there would be some correction in the market because tightness is everywhere. In this way, the defaulters will be out of the market and genuine parties will remain there with their goodwill.
Do you think that market change is happening in a way that veneer users have shifted to laminate?
That is not the case but a drastic change is that the time for window shopping has gone now. Today there are only genuine buyers in the market because they don’t have time now. The customers go to the trusted shop and buy their product with no wastage of time. Not the customers’ turnout is 80% to the footfall that was in reverser earlier.