“We must adapt our industry to the living standards of our population”

At the “Industry of the Future” workshop organized by the Association of Mauritian Manufacturers, Mr Kendall Tang, CEO of RT Knits, detailed the company’s ambitious plans to achieve carbon neutrality, focusing on energy efficiency and the adoption of renewable sources. He also showcased the company’s strategic use of artificial intelligence (AI) and automation to drive competitiveness and growth. Calling on the entire industry to embrace sustainability and modernization, he stressed that “we have a responsibility to our community, our employees, and future generations to act now.”

At the “Industry of the Future” workshop organized by the Association of Mauritian Manufacturers, Mr Kendall Tang, CEO of RT Knits, delivered an inspiring presentation on how his company is pioneering sustainable practices and embracing technological innovation to stay ahead in the competitive textile industry. His speech highlighted RT Knits’ commitment to sustainable growth, leveraging technology for productivity, and fostering an environmentally responsible culture. Mr. Kendall Tang’s presentation offered not just a glimpse into the company’s forward-looking strategies, but also a call to action for the entire industry.

He began by highlighting RT Knits’ unique position as a long-standing company in Mauritius. Founded in 1970, RT Knits has defied industry trends of relocating to countries with lower labour costs. “It’s rare to find a company that stays in the same country for over 50 years,” he remarked, emphasizing the company’s commitment to its roots. “Our mission is to accelerate the transition to sustainable fashion. This means we cannot produce the same way anymore; we need transparency, responsible production, and an increased value-added per person,” he continued.

We prefer the term ‘automation of data processes’ over ‘digitalization’ because merely having data on an iPad is not enough

He explained that for RT Knits, sustainability is not just a buzzword, but a guiding principle that encompasses social respect, economic viability, and environmental responsibility. “We are committed to being a responsible economic operator,” Mr Kendall Tang stated. “It is not enough to simply say it’s too expensive to operate here, and move to another country. We must adapt our industry to the living standards and development levels of our population.”

The CEO pointed out that the evolving workforce in Mauritius presents a significant opportunity. “When we started in 1970, Mauritius was primarily a low-wage labour market,” he recalled. “Today, we have many more engineers, technicians, and designers with higher levels of expertise. This allows us to shift from labour-intensive practices to a model driven by technology and innovation.“

A major focus of Mr Kendall Tang’s presentation was on RT Knits’ strategy to drastically reduce its carbon footprint. He provided a detailed breakdown of the company’s current energy consumption and its plans to become carbon neutral. “Today, 57% of our carbon emissions come from the electricity we consume, 39% from fuel, and 4% from gas and other sources,” he explained. “To address this, we are on track to complete the installation of a 75 MW solar farm to meet all our electricity needs by 2025. By 2030, we aim to eliminate the use of fuel entirely, and by 2040, we plan to achieve full carbon neutrality.”

The CEO elaborated on their strategy of using a “pyramid of energy” approach. This strategy involves avoiding energy use, reducing energy consumption, enhancing energy efficiency, and recovering energy before turning to renewable sources. “We revisited every process, asking ourselves: Do we really need to use energy at each step? For example, do we need to wash at 90 degrees, or can we use modern detergents that work effectively at ambient temperatures?” he explained. “By doing so, we avoid unnecessary energy use, which not only reduces costs, but also minimizes our environmental impact.”

Mr Kendall Tang went on to highlight the importance of choosing the right technologies to maximize energy efficiency. “In a company, we convert energy in all directions – electricity becomes compressed air, heat, kinetic energy, and more. We must carefully select technologies to maximize these conversions,” he noted. He also emphasized the benefits of energy recovery, explaining how heat pumps are used to enhance the efficiency of energy recovery systems, achieving gains of up to 400-500%.

Mr Kendall Tang stressed the importance of leveraging technology to drive productivity and innovation. “We employ around twenty full-time developers to build all our enterprise software, from ERP systems to AI applications,” he shared. This in-house technological development allows RT Knits to tailor solutions specifically to its needs, and to rapidly adapt to market changes.

We cannot produce the same way anymore; we need transparency, responsible production, and an increased value-added per person

He also spoke of the company’s use of AI to transform its operations. “AI offers us the ability to understand and interact with the real world in unprecedented ways,” he noted, citing examples like automated warehouses and AI-driven customer relationship management (CRM) systems. “For us, automation is not just about adopting new technologies for the sake of it, but understanding the cost structure and making informed decisions,” he emphasized. “We prefer the term ‘automation of data processes’ over ‘digitalization’ because merely having data on an iPad is not enough — it needs to provide real benefits by being processed automatically”.

He also highlighted the role of AI in improving productivity and efficiency. “We have developed a CRM system that operates both online and offline, allowing our sales team to access essential data and insights from anywhere in the world,” Mr Kendall Tang said. This system helps RT Knits maintain high capacity utilization rates despite the variability in client orders, thereby improving operational efficiency.

Looking ahead, the CEO outlined RT Knits’ strategic priorities for 2030, which focus on “quality growth and accelerating the adoption of new technologies.” He emphasized the need for balancing “exploitation”—maintaining effective management systems, processes, and operational procedures—with “exploration,” such as ongoing innovation and financial agility.

Mr Kendall Tang also explained the company’s financial strategy, which prioritizes funds to cover operational costs, finance growth, seize new opportunities, and reward shareholders. “To be sustainable, a company must have the capacity to adapt to changes in the long term,” he said. “This includes innovation, capital equipment, and intellectual property, as well as maintaining a strong culture of continuous improvement.“

Mr Kendell Tang did not shy away from addressing the pressing issue of climate change, underscoring the urgency for businesses to act. “We are the first company in the Mauritian textile sector to set such ambitious carbon reduction targets,” he stated. “We have initiated programs in collaboration with organizations like MEXA to encourage all Mauritian operators to decarbonize their operations. Our goal is not just to comply with global standards, but to set a benchmark for sustainable industrial practices.”

He also pointed out the importance of setting specific performance indicators to measure progress. “We have chosen an indicator that measures how many kilograms of CO2 we emit for every dollar of value added that we create. Back in 2018, we were at 16 kilograms per dollar created, and we have made significant progress since then. We want to continue on this path and align with the different scenarios outlined by the IPCC”, he shared.

Mr Kendall Tang called on other Mauritian manufacturers to join in the effort to decarbonize and modernize the industry. “We are doing our part, and we share these practices with the broader industry to create a ripple effect,” he said. “We have a responsibility to our community, our employees, and future generations to ensure that our industry remains viable, responsible, and sustainable. The time to act is now.”