Sonal Sheth: Today, survival is the name of the game
As per a representation by a printer body, there’s a 25% hike in the cost of input materials. Since January 2018, the cost of US dollar has risen to Rs 68.
In conversation with Sonal Sheth, director, Sheth Printograph/ Shenso Graphic Solutions, we find out what print desires under the rising dollar
23 Jun 2018 | By Noel D'Cunha
70-80% of input material in the print process is produced using the imported raw material. How will this affect your business, plus the pricing negotiations with your customers?
In short term one has to maintain equilibrium to sustain.
How will your company absorb this price increase? What is your strategy?
Price increase absorption is possible only if one has cushion in its profitability margins and that too only in short term to sustain.
Will this raw material inflation temper your company’s outlook for the year? What is the percentage you are looking at?
In this stiff competitive business scenario, where everyone is trying to survive, company's outlook towards growth has taken a backseat. Net margins have drastically shrunk. In order to beat the competition, volumes are the only recourse.
From an export point of view, a strong dollar will boost turnover. Your comments?
Of course, for exporters strong dollar is a boon but again exchange risk is always there. One has to speculate for both strong and weaker dollar.