The Rubber Chemical Merchants Association (RCMA) celebrated its Silver Jubilee (25th anniversary) in Mumbai recently by organising an event styled Optima 6, a platform for rubber chemical traders across the country for networking and knowledge-sharing.
The theme of the networking event was: ‘Trade Openness, Boosting Competitiveness.’ Dr Parimal Merchant, Director – Global FMB Program at S. P. Jain School of Global Management, delivered a talk on current issues in family business.
Trends in family business
“The new generation prefers to do their own businesses or services rather than getting involved in the family business. This involves much risk. The elder generation also do not leave the power in their business. This has caused a serious problem in the generation dynamics where the next generation is not encouraged to get into the family business,” says Merchant.
“Acknowledging the contradiction of different people is the only way to grow in family business. Family business people should understand each other’s importance and do not listen to outsiders who may harm the relationship. When there is unconditional support and love of family members, the notion of `I want to do business my own way’ goes out,” he said.
“Due to mouting pressure, now everybody wants to supply direct to the end-customers. Earlier customers used to go through proper supply chain, and everybody used to get their business through the chain. Since last one decade, margins are going down and expenses are going up, the supply chain is getting disturbed,” Merchant added.
Dr Salvatore Pinizzotto, Secretary-General of International Rubber Study Group, spoke on the current trends in natural and synthetic rubber business.
RCMA was formed in 1994 by leading personalities from rubber chemical trading community to bring all traders together for the growth of the community.
“Our association’s moto is to solve all issues related to trading community and bring healthy business atmosphere, where all can bring their problems and we together can find solutions,” says Mahavir Vaid, Chairman of RCMA.
Currently, the association has over 130 members, including indenters, importers, distributors, traders of synthetic/natural rubber, chemicals and carbon black etc.
The association looks forward to spreading its wings pan-India. “We appeal to the trading community to come forward and join us to make our dream come true,” says Vaid.
The rubber chemical business is related to Brent and crude oil and the recent volatility in prices and trade wars, anti-dumping duties and other factors impacted the rubber chemical business. To tackle such challenges, the association constantly updates its member on regular custom exchange rates, raw materials prices in international markets, banking prices for imports etc to enable them to do business, Vaid adds.
The association plans to conduct seminars, workshops, sporting events and family get-together periodically to foster unity and camaraderie among the community.