The Hindu Business Line : German leather chem maker mulls making India as sourcing hub

German leather chemicals maker TFL Leather Technique could use India as a sourcing base for one stream of chemicals, said its Executive Vice-President, Dr Roger Palmberg.

"One type of chemistry could specialise here," said Dr Palmberg, who oversees TFL's Indian operations from the company's base in Germany. The Indian market's growth rate would determine TFL's future plans, including the possibility of using India as a global sourcing point, said Dr Palmberg.

TFL has a factory in Hyderabad, and serves largely the Indian leather industry. At the moment, TFL is about to finish a legal merger with Quinn India.

Dr Palmberg said Quinn's strength in the finishing business prompted TFL to buy it last year, he added.

Dr Palmberg, who spoke to Business Line during a recent visit here, said TFL's (including Quinn) domestic market share is 15-16 per cent. He added that the company planned to produce 20,000 tonnes of chemicals a year.

TFL is a strong competitor worldwide in chemicals for car seat leather. In India, car seat leather and upholstery are its focus areas.

Dr Palmberg said TFL's Hyderabad plant had been refurbished to match European standards.

TFL was formed in 1996 following the merger of Ciba-Geigy's leather business unit with that of Rohm and Stockhausen. Odewald & Compagnie, a German equity firm, bought TFL last year.

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