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A Quiz Chat Session With Mr. Ankur Garg

Ankur Garg
1. Could you tell us something about your product and how you got into the business of manufacturing edge banding and the current market scenario?

We are involved in manufacturing high-quality edge banding under the brand name Pegasus. Edge banding is a technically intricate process, and the product itself originates primarily from Germany. Notably, companies like Doellken and Rehau are prominent players in this field. Currently, the Indian market is particularly price-sensitive, especially with new entrants who prioritize pricing over quality, variety, or range. When dealing with Original Equipment Manufacturers (OEMs), the focus shifts from price sensitivity to quality requirements and the need for a diverse range of sizes, colors, shades, and varieties. On the other hand, smaller OEMs and local furniture manufacturers prioritize pricing. Essentially, the market can be divided into two segments: the organized and unorganized sectors.

Companies like Pegasus, Rehau, E3, and Doellken target the organized sector where competition is limited, while about 80% of players in India operate within the unorganized sector. Consequently, we face limited competition from these players in the market. Presently, 90% of our market share comes from the OEM sector. Our quality is comparable to Rehau, with pricing approximately 10 to 15% cheaper. Our export market currently consists of Nepal, Bangladesh, Sri Lanka and Dubai.

2. Where did you procure the technology from, and could you tell us something about your production process?

Initially, we sourced the technology from Taiwan, and our first machine was from there as well. To date, all our raw materials, including UV and primer coatings, are imported from Taiwan. We refrain from using Chinese or local Indian material.

In terms of our production process, we start by producing the base, which undergoes primer coating treatment. Following this, we proceed with printing and UV coating, followed by exposure to UV lamps and heating.

Our printing capabilities are sophisticated, allowing us to replicate any design or size provided to us. We offer two types of adhesives: water-based adhesive for carpenter bases, applied manually, and hot melt glue for OEMs and furniture manufacturers, integrated into the machinery.

3. Could you tell us something about ABS-PVC and your plans to produce this for the Indian market?

Currently, we're predominantly focused on PVC edge banding, with a smaller portion in acrylic. However, we anticipate a significant shift in the next three to four years, particularly due to environmental concerns. ABS, being an eco-friendly polymer, is gaining traction as it eliminates the need for certain hazardous chemicals used in PVC production. PVS is already banned in several countries in Europe and in the US as some of the chemicals used are hazardous. We plan to launch ABS edge banding in the Indian market by next year, with the necessary machinery and technology already in the pipeline.

4. How is your marketing strategy working other than OEMs? Do you supply for the retail market as well?

Yes, we do supply to the retail market, albeit through a structured approach. We have distributors in each city who handle most of the orders and supply to OEMs. Direct billing is primarily reserved for select OEMs like Nilkamal and Sobha Limited, who prefer not to go through dealers.

5. What are your development plans? Do you plan to introduce any new products into the Indian market?

Apart from our recent introduction of soft Touch, we've imported two new products from Taiwan: acrylic laminate and charcoal louvers. These are part of our new brand, Glamid Decor, which focuses on interior products. While Pegasus specializes in furniture-related materials, Glamid Decor expands into interior decor. We've launched the brand six months ago and are currently focusing on market expansion, with plans to introduce new interior products in the coming months.

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