Reliance Industries has entered into a brand alliance with Coimbatore-based sewing threads leader Precot Meridian. This is a non-commercial deal. Reliance will allow the Coimbatore company to use its Recron SHT brand on its sewing threads brand.
Reliance Industries is the world’s second largest synthetic fiber manufacturer. With Rs 700 crores in sales, Precot is a leader in the domestic threads market. Out of its total income, exports contributed around Rs 200 crores last fiscal.
As per the agreement for co-branding for the polyester sewing thread yarn range, Precot will manufacture grey and colored polyester sewing thread yarns using Reliance’s Recron SHT, claimed to be one of the quality super high tenacity fibers. This yarn will then be sold co-branded with Recron SHT.
The alliance will ensure standardised high quality products reaching end customers and will help both companies strengthen growth and customer trust. Apart from branding, RIL will also provide marketing and branding support to Precot to establish Recron SHT as a leading brand.
The grey sewing thread market in the country is around Rs 1500 crores and polyester threads lead it with a 85 per cent share, the rest being cotton/nylon threads.