Scotts Garments explores domestic market

Scotts Garments, the $100 million apparel exporter

from Bangalore, has decided to enter the domestic apparel retail space. The new venture known as Inmark Retail will run their domestic retail business. According to Inmark Retail chairman and MD, Naseer Ahmed, their aim is to realise the potential of the domestic industry and create a label for Indian artisans rather than selling them under some foreign brand.

Under the new retail arm, it plans to launch ready to wear garments for men, women and children at competitive rates. The company believes that international labels make 5 to 10 time higher profits on the manufacturing cost borne by them. Due to this unfair pricing, many middle and lower-middle class customers cannot afford world-class fashion. This is the space where Scotts wants to step in. The company is not bothered about their export business getting hampered with this move as they believe the quality of their products is very high. Moreover they have global branding. If their present partners see a problem with their move, Scotts will explore newer markets in East-Asia apart from the huge domestic market.

Scotts has already been exporting to Asian markets like China. It currently has 25 manufacturing units in Karnataka and Tamil Nadu, and provides employment to about 15,000 workers. The Inmark retail chain is planning to invest Rs 50 crores by the end of this fiscal. It plans to open around 10 exclusive stores primarily in South India of which five would come up in Bangalore. The first Inmark store is set to open in Bangalore soon.