Apache to double Adidas production

Apache Footwear, the manufacturer for Adidas shoes in India, aims to double production

from its special economic zone in Andhra Pradesh to eight lakh pairs a month by 2014. The company has 50 acres of land for setting up a strong supplier base to source leather components and other raw materials essential to make shoes. At present, about four lakh pairs of shoes are being produced every month from the SEZ, located in Mambattu village of Nellore district.

The company’ SEZ, spread over 314 acres, recorded a turnover of Rs 240 crores in 2010 and provides employment to about 6,300 people. Constraints in the availability of adequate skilled labor supply and water supply and electricity in Nellore have prompted the company to go ahead with the proposal to establish one more unit in Guntur district also in Andhra Pradesh. This is a 100 per cent export-oriented unit. The company also plans to set up a development centre and supply centre in the state. These centers would help reduce the time taken for production of shoes. A proposed supplier park will help the firm bring down the lead time for production from two months at present to just five days. Apache exports its shoes mainly to Europe, the US and Russia.