Credibility of a businessman decides his future’
GreaterKashmir.com (press release), India
Three decades in business has chiseled him into a successful businessman. When he recalls his early days in business, it was the lack of experience that made him to suffer. But his indefatigable efforts soon fructified and he scaled the heights of success. He credits his entire group for the accomplishments his company has achieved over past three decades. Meraj Ahmad Qureshi, Managing Director, Meraj Group of Industries talks to GK reporter Mudasir Ali in an interview. Excerpts:
What are your core competencies?
Meraj Group of Industries (MGI) has been into the production of wooden furniture for the last three decades. I started my business journey in 1976 under the banner Meraj Joinery Mill. Few years later I expanded my company and started production of steel furniture under the banner of Meraj Steel Industry. Today MGI is also into the business of interior designing by name of Genex Interiors. Over the years we have been supplying wooden and steel furniture to public and private sector undertakings including government offices, trading agencies and corporate houses. The company also takes contracts from government and corporations for interior designing of buildings. MGI has a turnover of more than Rs 1.25 crore and the company has bagged a number of best manufacturing awards form state government and business chambers of the Valley. The company provides employment to more than 40 Kashmiri youths including some women.
Yours was not a business family. So how did the idea of starting business click your mind?
There was not a single businessman in our dynasty. But right from my college days I had decided to do something of my own instead of becoming a government servant. During those days I would often see a label titled Shora Furniture on wooden chairs, tables, beds etc. The label became an inspirational source for me to venture into the business of furniture making and carve a niche in the sector. I would always think of starting my own business till I joined the Kashmir University in 1974. One day I saw a government poster, Arz Dhast pasted on the wall of the Arts Block in the University asking students to join industry for mass industrialization in the state. It was a scheme for expansion of industry in the state where the state and center government had tried to attract the educated and skilled youth towards industry with open invitation for students from different streams. The industrial authorities had promised to provide every facility to the prospective entrepreneurs for setting up their units. Even the poster had in bold words that Kashmiri youth need not to run after government jobs as there was lot of potential waiting to be tapped in the state industry.
Did you apply for the scheme?
I couldn’t have afforded to miss the opportunity and since the authorities were offering cost free services from approval of the projects to the registration of the units, I persuaded many of my friends, who are today successful businessmen in the Valley, to apply for the scheme. The scheme was on for three days and it was extensive. The authorities had set up a camp at exhibition ground here where authorities from industrial department, state financial corporation, small scale industries department, financial institutions were all sitting together to help clear all the formalities for prospective entrepreneurs to set up their units. In fact all the authorities were around a common table and project would get clearance within an hour with financial institutions providing the requisite loan in just few days. The then state industries minister Mir Ghulam Ahmad Lasjan would personally monitor and ensure that any prospective entrepreneur should not face any difficulty. Inexperienced but enthusiastic about starting my business, I applied for number of schemes on the first day. But then my friends suggested me to go for a business that had abundant raw material available locally. Accordingly, I decided to set up wooden furniture mill with a total investment of Rs 85,000 including working capital of Rs 69,000 from bank. My project was completed by the mid of 1975 and I started my production by early 1976.
You said you were inexperienced but still grabbed the opportunity and plunged into the business. So, was it challenging in the incipient stage?
I must admit that the start was difficult. I suffered visible loss for a particular period due to inexperience and non-availability of the skilled labor. Being inexperienced I would manufacture products having less demand in the market. Many of our products were not of the standard size. The going was tough but the more I devoted my time to business more I learned the market trends and eventually become conscious about the market needs. Meraj Joinery Mill was into early days of production when it received a big order from All India Handicraft Board, Handlooms and Handicraft Export Corporation and State Handloom Development Corporation for production of carpet looms and handicraft looms. I imported machinery and technology for production of looms from Chandigarh. The production was completed and I must say that order gave me recognition in the market. Then there was no looking back. I got orders from private as well as government parties for furniture production as well as interior designing. For past twenty years I have been providing interior designing to the J&K Bank branches. Besides, I am also getting the orders of JKPCC for various government works for last many years. Recently, we did the interior wood designing and furnishing to the newly constructed children hospital at GB Panth. The credit for the success of MGI goes to the whole team of the company. And, I cannot forget the role of my younger brother who is also my partner, Firdous Ahmad Qureshi. It is his indefatigable work and struggle that has gained a name and fame to our company in the market. Hari Krishan Raina, our company manager is another name that deserves a mention for his dedication to the company.
How has been your experience while working with government agencies?
A businessman must be patient while dealing with customers. Sometimes he gets money for his work on time and at other times he has to wait. But frankly speaking my experience with government agencies is bad for past three years. I have been honoring the orders and supplying the goods to the government agencies like on time, yet there has been tremendous problem in terms of getting the money. Emporium building, for example, was inaugurated some three years back by the former chief minister Mufti Muhammad Sayeed. I have done the ceiling work of the building for Rs 6 lakhs but received only Rs 1 lakh so far. Imagine what would have been my position had I been a beginner or a new comer in the business. Every time I asked for the money from the agency through whom I worked there, I was given to understand that government was short of funds. I am not the lone sufferer at the hands of authorities. There are examples galore. On one hand the government is hardly doing anything for Industry to prosper and on the other unit holders are deprived of their own hard earned money. This is indirectly a set back to the industry, which the government claims is trying to revive.
How do you look to the recent decision of the government announcing separate directorates of Industries and Commerce for Kashmir and Jammu?
The industrialists are hopeful that bifurcation of the directorate will give focused attention to the Kashmir industry, works would be monitored closely, schemes implemented fully and funds utilized properly and timely. These days authorities are boasting of accountability and enhanced work culture in government offices. But let me tell you when it comes to industry it seems the authorities fail to transform their words into action or deeds. Files are piling in the government offices for past several months. I see over past some years it has been a worst period for industry in Kashmir. Talk to the industrialists and you would come to know that project files and other documents of the unit holders have been pending in government offices for approval for months together. Where the government lacks is the implementation. Announcements are being made day in and day out yet there is no implementation. See we have a huge mineral resources like lime stone, marble cement etc. The government over the years has been claiming to exploit these resources but in practical even 20 per cent of these resources have not been tapped. Decades have gone by yet our cricket bat industry that has a huge potential to sustain our economy, has not been developed as a full-fledged industry. Unfortunately, we have been left with no option but to export the raw material that helps promotion of bat manufacturing industry outside that earns huge foreign exchange. Industry is facing sickness because government is not committed to transform its word into action.
You sound too critical to government’s approach towards industry.
It is not that governments or authorities were always like this. I have seen authorities in the government that were really concerned about the growth of industry in Kashmir. I remember if there would be any problem of electricity, roads, water, and other infrastructure to our industrial estates, some directors would personally visit the estates to ensure that the problem was removed. They would take as much care of the unit holders as the parents care for newly born child. Projects of unit holders would get clearances from different offices within days. They would leave no stone unturned to see the progress of industry. But unfortunately the times have changed now. I have been into business for last three decades and given the tremendous development of industry during 1972-1982, ours should have been a world famous industry with all the facilities available to the unit holders. However the truth is that industry is suffering more and more with the passage of time. Now-a-days funds for development of industry and revival of the sick units get lapsed frequently. And it seems that industry is facing its worst stagnation.
Any plan to export your products?
Yes, I had an intention to export our products to overseas and Indian markets. But truly speaking the government apathy has discouraged me a lot. Actually I was expecting to set up a large unit at Wooden Furniture Cluster, which was proposed to come up at Ompora Budgam under a centrally sponsored scheme. Under that scheme the centre would grant 85 per cent and state was supposed to pay 15 per cent for the construction of the cluster. All the modern facilities would have been available to us under one roof in the cluster. But the sorry tale is that the scheme is about to expire and yet the state government has not taken any step in this behalf. So this has discouraged me a lot and forced me to shelve my plan of exports.
After three decades in the business, when you look behind, how do you find the past?
Life is always full of ups and downs and we need to learn from our achievements and failures. I am quite contented with what came to me. But given the official apathy, it seems that road ahead is difficult for the younger generation who wish to make a name in the corporate world.
Your message for the prospective entrepreneurs?
Nobody should join industry with the intention to only avail the benefits and incentives. A unit should be viable without incentives. And of course the credibility of a businessman in the market decides his future.