Small and medium soap and detergent manufacturers in Tamil Nadu seek to bridge the technology gaps in their businesses in order to be competitive and to grow faster.

“In view of the emerging growth potential, soap and detergent manufacturers in the State are keen to grow to the next level. They are keen on enhancing their competitiveness by cutting production cost, improving quality and achieving savings on energy, among others by deploying the latest technologies,” K Dhanapal, President, Tamil Nadu Small Scale Soap & Detergent Manufacturers Association (Tansdma) said here while discussing their upcoming convention.

He said, several manufacturers were keen on expanding their capacities to grow their business and enter new markets. Tansdma is working on facilitating technology upgradation of its members to help them grow to the next level.

The 55-year-old Tansdma has about 600 soap and detergent makers and allied products as members and the total turnover of them will be about ₹1,500 crore a year, recording an average growth of about 10 per cent per annum.

“Companies are willing to spend on technology now. More than 90 per cent of our members are in micro and small scale levels and they want to expand their production. This will also create job opportunities for a lot of people,” said VS Manimaran, member, Executive Committee, Tansdma.

GST impact

Implementation of GST led to a drop in overall tax rates for soap and detergent makers. They are paying only 18 per cent under GST as against the total tax rate of 28 per cent earlier.

Dhanapal said the association would be organising a national convention on ‘Modern techniques in soaps and detergents in Chennai during December 28-29. The event will showcase the latest technologies in soap and detergents making, new machinery, modern processes etc.

Both domestic and global companies will exhibit their products and there will be 75 stalls. More than 3,000 delegates are expected to participate in the convention.

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