Kipaş Takes Bold Steps in Investments

Kipaş, one of the greatest integrated facilities of the textile sector, grows with the investments it makes

  15 May 2012 19:15 Tuesday
Kipaş Takes Bold Steps in Investments

Kipaş Holding, which is one of the most important industrial foundations of Kahramanmaraş and Turkey, continues to grow with its investments. The company that stands out especially with its integrated structure in the textile, creates a difference with the investments it made in the crisis period. Kipaş, which continues its export-oriented activities with its machinery park and production capacity, expands the growth it achieved in textiles to the other fields. The company has recently made a EUR 350 million worth of investment in the paper, which is one of Turkey’s greatest import items. As Textil Dünyasi, we made an interview with Hanefi Öksüz, Board Chairman of Kipaş Holding, which makes its name heard with the investments it make. Hanefi Öksüz answered our questions at ITM Fair and gave important information about the investments and the production. Öksüz received the award given by Marzoli, the important Italian machinery manufacturer that participated at ITM, for the strong cooperation Kipaş has established with the company. The senior officials of Kipaş and Marzoli attended the award ceremony.

Hanefi Öksüz remarked that Kipaş Holding started yarn production in 1985 and in the meantime it set up a fully integrated structure. Öksüz emphasized that today the company is one of the greatest foundations of Turkey. “We are enaged in a production process from yarn to garment. Similarly, we have a wide range of products in weaving. We have the power and capacity to manufacture a variety of products from sportswear to denim. We had made a great deal of investments until we attained our position. We haven’t been engaged only in yarn production and now we continue to receive successful results,” said Öksüz.

Öksüz likened Kipaş Holding’s textile production to a pyramid and said; “Yarn capacity is the highest point in our production and it is followed by a range that goes up to garments. However, compared to the yarn production, we have a lower capacity in garments.” Öksüz stated that they made the latest production in textile products with Bozkurt Konfeksiyon. He added that in this segment, they perform important sales both at home and abroad.

Investment Should be Made for the Long Term

Öksüz stated that there had been difficult times in Turkey and they learned how to overcome these periods. Öksüz added that as a company, they don’t want to be affected by the sudden crisis and added; “Companies stop making investments in the crisis periods and want to take feedback from the investments they make. This is a wrong strategy. Depending on the size of the investment, it is necessary to wait for 1 or 2 years at least. Those who are demoralized by the slightest crisis, receive worse results. There are problems occurring almost every 3-4 years in the sector. However what the customers demand remains the same.

Customers always demand new and technological products. As a manufacturer you always have to offer the quality product at the lowest price. Quality perception is an important issue. Following the technology, knowledge and experience are top the elements that bring quality. Therefore, if you want to become successful at the crisis period, you should keep the line in every stage from procurement of the raw material to the the final product.”

Investment will Continue in 2012

Öksüz stated that they receive succesful results in yarn production and produce every type of yarn demanded by the sector. Stating that with their weaving department, they follow the trends in the market, Öksüz said; “We follow the demands in the sector and perform production according to them. Last year, we experienced a successful period. We export 30 percent of our yarn production. In 2011, the group’s production capacity reached 300 thousand spindle rings and 20 thousand tons of rotor open-end. Last year, we produced 75,000 tons of carded, combed, synthetic and compact yarn and 40.000 tons of open-end yarn. 10 percent of the yarn production in Turkey is performed by our group. These are all achieved by following the trends closely in the market.”

Öksüz stated that they make investments through technological innovations and direct production. “We have an old machinery park. First of all we want to get rid of it. We are going to strengthen our production with new machines. In addition, we will complete our new investment with a capacity of 100.000 spindles,” said Öksüz and added that they have a corner on the textile market in every production processes. Öksüz emphasized that they stepped into retailing with Lee Cooper. Stating that they never hesitate to enter into new fields, Öksüz said; “In the retail industry, which we’ve entered recently, we use the advantages of being an industrialist. We’ve got advantages in both exports and imports. We perform production in Lee Cooper’s overseas stores. There are many other innovations that can be made in this field and I hope that we will continue gain successes in this segment.”

350 Million Euros worth of Investment by Kipaş Holding

Kipaş Holding, which has become an important foundation in the textile sector over the world, aims to expand the power it attained from this sector, towards the other fields. Foundation has been laid for Kipaş Paper Mill of Kipaş holding, which is located in Türkoğlu, Kahramanmaraş. Kipaş Holding is going to employ 500 people in the first place. Later this figure will increase to one thousand and 470 thousand tons of paper will be produced in a year. Kipaş Paper Mill, which will include a closed area of 60 thousand sqm and will be established on an area of 300 thousand sqm, is expected to start production in September 2013.

As it can be remembered, at ITMA Barcelona, held in September 2011, KİPAŞ received awards from Bracker and Savio. Bracker, the Swiss manufacturer of ring spinning machinery components, awarded KİPAŞ Holding, for it was the company to receive the 30th Titan Ring  from Bracker. In addition, the Italian based Savio presented a plaque to the holding for the 15-year cooperation between Savio and Kipaş.


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