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Jabatex Group wins ISOs to enter int'l market

Jabatex Group wins ISOs to enter int'l market

Starting as a home industry with just one modest machine more than 30 years ago, Jawa Barat Textile (Jabatex) has become a leading group focusing in textiles. Jabatex Group now runs several subsidiaries, specializing in spinning, knitting, dyeing and finishing. As a well-established and experienced firm, it is one of the largest yarnmakers and fabricmakers in Indonesia. The group has pledged to produce and create qualified products consistently and enter both domestic and international markets. Seven ISO certificates won simultaneously by Jabatex Group is a proven track record for the group to gain better positioning.

JAKARTA (JP): Jabatex Group, founded by Effendi Gunawan in 1964, is a textile business group comprising PT Jabatex, PT Djoni Textindo, PT Gunawan Textindo and PT Effendi Textindo. The group has developed significantly into a leading textile producer and has won seven ISO certificates as part of its expansion plan to penetrate greater international market.

PT Jabatex has won an ISO 9002 certificate, while PT Djoni Textindo, PT Gunawan Textindo and PT Effendi Textindo won both ISO 9002 and ISO 14001 certificates.

Jabatex Group President Commissioner Indra Gunawan, MBA, said, "It's a common requirement now that one must gain ISO certification when entering international markets."

He said that international consumers always asked about international qualifications both for quality management and environmentally friendly aspects for any industries intending to enter a worldwide market.

"That's why we tried our best in recent months to gain the ISO certificates," he said, adding that the company would remain doing so to keep up its quality.

He said that to gain the ISO 14001 certification, the three subsidiaries (PT Djoni Textindo, PT Gunawan Textindo and PT Effendi Textindo) had to prepare acceptable waste management and other procedures, which relate to natural resources.

"We're glad that we have won the ISO awards from SGS. This is now our time to go global and take the opportunity to earn more income in U.S. dollar," he said.

PT Jabatex, which operates a factory in Cibodas, Tangerang, is situated near a natural water resource. The factory is equipped with an integrated waste-processing system allowing it to work continually under environmentally sound condition.

PT Jabatex had already entered international markets indirectly, in that its products are purchased by local garment producers whose goods are sold internationally.

In 1996, half of Jabatex Group's total sales were aimed at international markets, including Japan, Hong Kong, China, Australia, the U.S., Europe and other Asian countries. Most of its total exports were cotton yarns, while the remaining comprised fabrics and other cotton products.

At this time, Jabatex Group is the biggest supplier of combed cotton yarn to Hong Kong and one of the three biggest combed cotton yarn suppliers to Japan. Its finished fabrics are 60 percent targeted to domestic export-oriented garment producers.

Jabatex Group President Director Hendra Gunawan, MBA, said, "It's now the time to export our products (knitted fabrics) directly to international markets."

PT Jabatex is targeted to enter markets in nations well-known for their textile industry, such as China, Sri Lanka, Bangladesh, Hong Kong and even the U.S. and Europe, he said.

"We are confident that we will be competitive enough to enter the markets in the targeted countries because we already produce high-quality products. Now, with the ISO certificates, we are ready to compete with existing rivals," he said, adding that the market was very promising.

He said the main rivals would be local industries in the targeted countries. "They're good manufacturers. China and Bangladesh, for instance, are the largest exporters of knitted garments to Europe and the U.S. But we are also making quality products," he said, adding that PT Jabatex would also work to maintain its local market.

"We have to be very careful as foreign textile industries also eye larger markets in Indonesia. In addition, there are products entering the local market illegally which have attracted several local garment producers. It's a hard challenge but we have to maintain local customers," he said.

PT Jabatex's aim is to capture customers who produce good- quality garments, he said. "With the ISO certificates, we're ready to compete. So far we've been successful in limited international markets with the Okotex certification required by Germany."

With its ISO certificates, Jabatex Group would also keep improving its performance, he said. "It will be harder now, after having gained the ISO certificates, as we must serve our customers much better. With the ISO certificates, we have to reach the goal of zero defects, zero customer complaints and on- time delivery."

He said that Jabatex Group would also keep its reputation as a textile business group producing high-quality environmentally friendly goods.

Since its incorporation, Jabatex Group has established a vision for advancement by creating an integrated group of upstream and downstream cotton yarn and knitted fabrics.

PT Jabatex, which was established in 1975. Its yearly capacities are 18,000 metric tons of knitting fabrics and 20,000 tons of dyeing and finishing fabrics.

With over 30 years of specialized experience in knitting, dyeing and finishing, PT Jabatex now has more than 500 machines manufacturing 18,000 tons of fabric annually, and the company has become one of the largest fabricmakers in Southeast Asia. With a wide range of machinery, PT Jabatex produces several fabric types required by local and international markets.

The group also runs a plant at Pasar Kemis, Tangerang, West Java. The 17-hectare PT Jabatex knitting factory has a workforce of 1,000 and features various types of machinery, including modern circular knitting machines for single jerseys, interlocks, rib, strippers and varied gauge flat knit.

PT Jabatex's wide range of production machines comprises those for pretreatment, mercerizing, gas singing and scouring bleaching. Other facilities comprise machinery for cotton yarn, TC, CVC, TR, Polyester, Rayon and Acrylic dyeing machines and finishing fleece, Stantering, Weiss Calender, Wet Calender and Dryer. Other high-tech devices include Sando, Monfort, Kranz, Mayer & Co., Fukuhara, and Hisaka machines.

PT Djoni Textindo, incorporated in 1989, specializes in spinning to produce combed cotton yarn. The company has a capacity of 33,600 spindles.

A second spinner was established in 1989. The new company, called PT Gunawan Textindo, has a capacity of 38,400 spindles.

The two companies, PT Djoni Textindo and PT Gunawan Textindo, are located in Cikupa, Tangerang, on a 14-hectare plot. The two firms, which employ a total of 900 workers, obtain raw materials imported from the U.S. and Australia.

Production includes cotton yarn from 72,000 spindles. To anticipate expansion, an area has been arranged to accommodate an additional 80,000 spindles when necessary.

The growth in demand of the products has encouraged Jabatex Group to set up a new factory four years ago, in 1996. The third company is PT Effendi Textindo, which is located two kilometers from the first two factories. The company operates the most sophisticated machinery, producing 35,000 bales of combed cotton yarns per year. The 10-hectare PT Effendi Textindo site is prepared to expand with 40,000 spindles.

The three plants now have a combined capacity of 108,480 spindles producing 85,000 bales of combed cotton yarn and 15,000 bales of carded cotton yarn per year. Over 80 percent of the production output, comprising Ne 20'S, Ne 26'S, Ne 30'S , Ne 32'S and Ne 40'S combed and carded cotton yarn, is manufactured for export.

Jabatex Group draws its strength from the harmony within its divisions and subsidiaries. Jabatex Group's focus on integration brings many competitive advantages in ensuring raw material and yarn supply, efficiency, production flexibility, economy of scale and the Group's performance as a whole.

As the country's leading yarnmaker and fabricmaker, Jabatex Group always tries to anticipate what the consumers want in fabrics and fashion design. Its products can be made based on specific requirements or from its catalog of a wide range of fabrics.

Jabatex Group uses various types of high technology machines, allowing it to produce high-quality products. It is also experienced in dyeing technology and continually conducts research and development testing to maintain and increase quality control and fabric variety.

The products are developed in-house at PT Jabatex's computerized design studio, making thousands of designs every year. The designs are initiated in part through customer feedback from international agent offices and by the creative touch of its own designers. The care taken by the designers is matched by those who direct computer-controlled processing which creates knitting products to the specifications required by customers.

PT Jabatex's products are known for their affordability, durability and comfort. The cotton fabrics are best suited for t- shirts, polo shirts and sportswear.

The products are regularly purchased by local garment industries.

Hendra said that good-quality knitted fabrics could be distinguished by their weight or gramage, setting, color fastness and shrinkage.

"That's the basic requirement. Sometimes customers need up to 10 items for their best products," he said, adding that PT Jabatex always manufactured good products to maintain its reputation.

"Apart from quality, one of the major points in this kind industry is on-time delivery. Especially now, when we are entering the international market, precise delivery is essential, or customers will drop us," he said.

As an integrated textile industry producing quality products, Jabatex Group has successfully maintained its position as well as increased its market network in line with local and international demand. Acknowledgement of the high quality of its products is proven by its wide acceptance.

"This year, our target is to market 20 percent of our knitting fabrics internationally," Hendra said.

The group aims to develop in the future and targets increased annual growth rates by creating value-added products, focusing on employee training and skill development. It hires a total of 3,500 workers, of which more than 50 are professional managers. Intensive and external training courses, in addition to educational activities, are regularly held to facilitate the workers. Jabatex Group also sends selected employees to several seminars in Indonesia and abroad to obtain further expertise.

Jabatex Group has a vision to grow. With all its experience and expertise, it is well positioned to meet the challenges and chances as the global market emerges.

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