| Business |
||||
|
Star
Granite bespangles in SL
Established
in 1998, Star Granite is a subsidiary of Star Industries, specialising
in quarrying, manufacturing and trading in granite and marble from
quarries in Sri Lanka, India and Italy. Its products include granite
and marble slabs and tiles that are machine-cut to suit the requirements
of customers, granite circles and tops with pedestals, washbasin
counters, kitchen tops, sinks, pillars and monuments. Situated at
Minuwangoda along the Minuwangoda-Kurunegala Road, Star Granite
manufactures varieties like Lanka Teak, Rakwana Green, Star Blue
and Pearl White. It pays special attention, however, to the forest-green
Rakwana Green and sandy-coloured Lanka Teak, that are distinctively
Sri Lankan varieties of granite. With a vision to become the most
innovative granite manufacturer in Sri Lanka and meet the ever-changing
needs of valued customers, Star Granite aspires to deliver quality
products on time to meet the exacting requirements of customers.
"Our products are world class. They conform to all international
standards and are subjected to stringent quality control by our
staff," said Wickramasinghe, seated behind an enormous granite
table done in Blue Cocktail, a blue-peach stone. Wickramasinghe plans to develop the industry and market innovative, quality granite products to meet the demands of quality-conscious customers using state of the art machinery. The plant already consists of machinery like Barsanti gangsaw machines, Carlmeyer 20 blade multi-cutters, line polishers, single head polishers, calibrating machines, sizing cutters and block cutters. Representing some of the leading manufacturers of granite in China, India and Taiwan, Star Granite has built excellent business relations with its suppliers and has employed the best in the industry to become one of the premier granite manufacturers in Sri Lanka. "We believe in the best and in employing the best. We endeavour to motivate our employees by creating an environment that is conducive to developing their skills through internal and external exposure." Having essentially
been in the machine and tool manufacturing business, Star Industries
launched Star Granite with the collapse of their main line of business.
"We knew nothing about granite. But we had to start something
stable because our other industries were running at a loss."
Established in 1975, Star Industries comprised 20 businesses by
1985. With 400-odd employees working in 20 different sections, it
had been at its best in the 1985-1995 decade recording an enormous
profit. But by the end of 1995 the group was affected by the flooding
of Chinese products into the local market. "We had
20 different sections manufacturing products like ceiling fans,
water pumps, grinders, workshop tools, vehicle parts and woodworking
machinery. The trouble arose in 1995 when the Indian products reached
our shores." Those products, which contained neither guarantee
nor after sales service certificates, were preferred by the local
consumer due to the lower cost. "We could never match those
prices. When we manufactured and marketed fans at Rs. 2,500, the
Chinese product was available at Rs. 1,000." Star Industries
closed down in 1998 except for the lathe machines section and the
proprietor was compelled to search for new avenues of business.
"One of my father's Chinese friends suggested granite and we
started small with just two machines." When Star Granite was
established in 1999, there were five other local granite manufacturers
who operated on a large-scale. "They were huge companies, had
heavy investments and were extremely strong." But, by 2000,
three of these factories closed down. "We were able to acquire
them," said Wickramasinghe, who feels that the decision to
acquire two major granite manufacturing factories was a turning
point for Star Granite. "We got most of the infrastructure
from those two factories and manufactured our own tools and machines
with the lathe machines from the former business." Despite the
advantage of acquiring two existing factories and the closure of
one other large-scale manufacturer, the journey ahead was not a
rosy one for the company. One of the main problems they had faced
was the training of employees absorbed from its former business.
"We had to bring experts from India to train the employees
because this industry involves a lot of heavy and risky work,"
he said. Having trained its staff and commenced production they
had launched a marketing campaign. Star Granite
operates from four locations including Minuwangoda today. It has
showrooms at Seeduwa, Nawala and Kelaniya and plans to open showrooms
in Galle and Kandy soon. Facing numerous
problems in expanding the site at Minuwangoda, Star Granite decided
to set up another factory at Katana to expand the business. However,
expansion has not given its proprietor the desired result with a
huge surplus being stored at the plants in Minuwangoda and Katana.
"The local market is not big and it is essentially Colombo-based.
Therefore it is important to make the product accessible for those
living in the outstations," says Wickramasinghe, who feels
that the local market is very small compared to markets in India
and Italy. "Granite is gaining popularity in Sri Lanka but
it's relatively new in the outstations. Rural markets have not been
explored because most companies feel that it is a luxury item and
focus on the Colombo market." Wickramasinghe
plans to make granite available to all segments of the local market
while simultaneously focusing on the international market. "Indian
granite is the most competitive in the international market and
it has flooded the local market. This is a big attack on the local
industry. We cannot compete with their prices because their production
cost is low." According to him, Indian manufacturers are technically
advanced and have discovered economical ways of manufacturing granite.
"Besides, they have a huge selection compared to our Rakwana
Green and Lanka Teak." Granite manufacturers
in Sri Lanka also face numerous problems in finding the raw material
that comes from areas like Rakwana, Horana, Wariyapola and Yakkala
right now. "Finding the raw material that is suitable for cutting
and polishing has become extremely difficult. Most villagers do
not like us coming to their villages. Then there are political and
bureaucratic problems and a lot of technicalities to go through
in obtaining permits. The government should step forward and give
us some relief." |
||||
Copyright © 2001 Wijeya Newspapers
Ltd. All rights reserved. |
