Guwahati: Entering niche markets like cork involves a substantial investment, but the versatility and customization options available make it a worthwhile endeavour for long-term growth. It usually needs an investment of Rs 10-15 lakhs,” said Binay Patni, an entrepreneur during an interview with Business North East.
Binay Patni is the Founder and CEO of Oakliv- The Cork Studio, a pioneering company based in Guwahati. Oakliv is the first and only manufacturer of unique cork products in Northeast India. It was established in the year 2021.
The cork industry is a specialized sector focused on producing and utilizing cork, a unique material harvested from the bark of cork oak trees. Known for its versatility, cork is used in a variety of products ranging from wine stoppers to flooring to lifestyle products and corporate gifting.
We see significant growth opportunities in sustainable packaging, with plans to expand our offerings and integrate them into home decor and interiors," Patni added.
Here are the excerpts from the interview:
Business North East: How did you make your business successful? Could you share the idea behind inventing and building your new product?
Binay Patni: We specialize in crafting products from wood. To put it simply, we create a wide range of items by utilizing tree bark and turning it into unique products. Our focus is on gifting, packaging, and providing solutions. I started this business with the intention of offering something different—something that addresses the growing concern of sustainability.
When we design our products, we aim to innovate while keeping practicality in mind. These days, many talk about innovation, but we don’t always see true advancements. For instance, so many products are still made from plastic. Our mission is to offer consumers a sustainable alternative, replacing everyday plastic items with high-quality wooden products. We’ve expanded into various sectors, including fashion, to offer off-the-shelf design solutions that are environmentally friendly.
BNE: You must have faced many challenges while starting and running your business. Can you share what obstacles you encountered and how you overcame them?
Binay Patni: Initially, one of the biggest challenges was awareness. People weren’t familiar with the products we were offering. During the COVID-19 pandemic, the entire world was grappling with the crisis, and everyone was confined to their homes. This made it difficult for us to launch the product and gain the attention we needed.
Another challenge was sourcing raw materials. Since our primary materials are imported, there were significant hurdles in ensuring a steady supply. However, once we successfully launched one of our product segments and received positive feedback from the market, things started to fall into place. That validation gave us the confidence to push forward and scale the business more aggressively.
BNE: Where do you source your material from?
Binay Patni: The material we use comes from a specific tree species found in Europe, particularly in forests that provide the right environment for it to grow. This species isn’t native to India, so there are two or three importers in the country who bring it in, mainly for use in making stoppers, like those used in bottle packaging.
We purchase the raw material in the form of blocks and sheets. There are two advantages to this. First, we don't need to stockpile large quantities of material, and second, it allows us to craft different products based on customer demand. Currently, we don't import the material directly but source it from local importers who bring it into India.
Once we receive the material in blocks, we process and manufacture the final products here. For example, depending on the segment—whether it’s for gifting or packaging—we finish the product here and deliver it. We don't manufacture the raw material, but we handle all the processing and finishing of the products locally.
There are also two types of material variations: agglomerated and plain. The agglomerated version includes some leftover material from the manufacturing process, making it a more affordable option. We offer both types to our clients, depending on their preferences and budget.
As for pricing, it’s determined by the thickness. For instance, a 2 mm thick block costs around 90 to 100 rupees. As the thickness increases, so does the cost. We use standard blocks of three feet by two feet to create a variety of products.
BNE: This material is also known for being eco-friendly. Can you elaborate on how you use it and whether it’s locally available?
Binay Patni: While bamboo is a common eco-friendly material, I chose this specific wood for its versatility. Unlike bamboo, which is primarily functional, our material allows us to create multifunctional products, such as pen holders that double as planters.
We use a demand-based production model to minimize waste, which contrasts with the traditional bulk production method that often results in excess waste. Our material is biodegradable, decomposing naturally within 30 days to 1.5 months. This makes it a sustainable alternative to plastics, which persist in the environment as microplastics. Locally, this wood isn’t available; it’s imported from Europe, where it grows in specific forests.
BNE: What are the special features of this material, and how do you leverage them in your products?
Binay Patni: The material’s versatility is its standout feature, allowing us to create a diverse range of products. Its sustainability is another key advantage, as it doesn’t require tree cutting, aligning with eco-friendly practices. The material has natural insulation properties, making it ideal for home decor and furniture without needing additives.
We emphasize maintaining its natural texture, avoiding synthetic finishes to preserve its eco-friendly qualities. Additionally, our products are designed for multifunctionality; for example, a placemat can later be repurposed into posters, reducing waste and extending use. While we don’t advocate for eliminating plastic entirely, we offer a durable, reusable alternative that minimizes environmental impact and promotes sustainable consumption.
BNE: In your opinion, can this material completely replace plastic?
Binay Patni: We won’t be able to replace plastic completely. There are many factors to consider, especially the economics of materials. Plastic is inexpensive, which makes it an easy choice for many industries. Replacing it entirely would be a big claim. In markets like the US, for example, the cost-effectiveness of any material is crucial.
What we aim for is to reduce the use of plastic, not to eliminate it entirely. Our products cater to a specific segment of people who prioritize eco-friendly alternatives. If someone values sustainability, they might choose our products, but if that’s not a priority for them, it may not make much of an impact.
Plastic will continue to exist because of its affordability and widespread use. However, we can target a niche market that appreciates the advantages of our material and its eco-friendly properties.
BNE: You manufacture unique products. What is the current demand for your products in the Assam market, and how would you communicate this to potential customers?
Binay Patni: We serve three main segments: interior design, corporate gifting, and packaging. For interior design, we collaborate with designers on projects like wall panelling. In corporate gifting, we provide customized, sustainable options, catering to brands with specific environmental goals. In packaging, we offer tailored solutions for smaller orders, such as 500 boxes, meeting the needs of premium brands.
Demand has been steadily growing, especially with positive feedback last year. We've expanded by listing our products on platforms like Amazon and Flipkart, allowing us to handle smaller orders as low as Rs 150, efficiently.
Our new gifting collection includes a bookstore set and calendar, launching soon. We focus on quality and customer satisfaction, ensuring that our products not only meet but exceed client expectations.
BNE: You've entered the cork industry, and it seems like a promising market. How much time did it take to set up, especially when the cost of these products is relatively low in our region?
Binay Patni: Every business has its own financial dynamics, and the cork industry is no exception. It wasn't initially categorized under traditional lifestyle products, but we’ve positioned it in that space now. Until recently, no one in India was creating products from cork in such a versatile way, but we have.
To step such a business in the market, it generally takes up to Rs 10-15 lakhs of investments.
For example, one of our highest-selling products is the cork diary. Diaries come in various forms—hardbound, small, large—and we can customize the pages according to the client's brand. Similarly, we design cork calendars, including compact ones that fit well in modern digital spaces, and one can get their name printed on it. A cork calendar might cost around Rs 200, and we ensure that all our gifting plans stay under Rs 300.
We also promote the concept of vegan materials. While leather can be defined differently across industries, we don’t use animal leather. Instead, we focus on fabrics and materials that offer the same feel, which qualifies us as a vegan-friendly brand.
As for product design, cork's versatility allows us to create anything from massage balls for yoga accessories to geometric products like round or square items, depending on the customer’s needs. If you explore our Instagram page, you'll see a range of products we’ve showcased, highlighting just how much can be done with cork.
One challenge we face is raising awareness about cork’s potential and the environmental impact of plastic. Before generating demand, people need to understand why cork is a better choice. That’s why, even after three years, we haven’t invested in marketing—we believe that awareness will naturally bring demand.
If you're looking to enter this industry, be prepared to put in the work. You'll need to innovate and think about all the different types of products you can create from cork. That's been our approach—we’ve developed a broad range of products to cater to various segments. And if you're interested, I can show you our full collection.
BNE: Approximately how many orders do you receive?
Binay Patni: It varies. Our focus isn’t on high volume; we primarily cater to a select group of corporates. For instance, we might handle around 3,000 to 3,500 orders, with about 30% of these being repeat clients. This includes both gifting packaging and interior design projects.
Since we operate on a business-to-business model rather than directly with consumers, our order volume isn't excessively large. Currently, we serve over 100 clients across these three segments.
Regarding profitability, our model is based on made-to-order production, which helps manage costs. We don't produce items in advance, which keeps overheads lower. Typically, if a product costs 100 units, around 40% goes to retail, 20% to wholesale, and we retain about 20% as our net profit.
BNE: How many people are involved in this work?
Binay Patni: Our team consists of three people: my brother and I handle core operations and staff management, while a third member manages accounts and payment collections. Despite being small, we efficiently manage all business aspects.
We face challenges with equipment availability, such as UV printing, which isn’t available locally and requires outsourcing to Kolkata. This presents an opportunity for innovation in Guwahati’s printing sector. We use standard machinery for cutting and moulding but face limitations with colour and multi-tone printing. Most of our work involves manual processes. There’s potential for growth and collaboration in establishing specialized printing services locally.
BNE: So tell me about your business plan. Where do you see this business in five years?
Binay Patni: When I started, I didn’t foresee the level of success we've achieved. The positive feedback we've received has been a great motivator. My focus remains on aligning our products with customer preferences and adapting to their needs.
In the next five years, I aim to expand into sustainable packaging and integrate our products into home decor and interiors. I want to raise awareness about the environmental impact of plastic and promote sustainable choices. While I don’t have a fixed vision for five years, I’m considering exploring growth opportunities through platforms like Amazon and also looking for further export opportunities. For now, my priority is to continue innovating and meeting market demands, confident that the upcoming year will bring significant advancements for our business.
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