Pepe Jeans to expand in India, ready for GST

By

Maverick Martins

Published
Jun 26, 2017

Global denim retailer Pepe Jeans is planning to boost its presence in India by adding 50 exclusive stores across the country this financial year, said a top company official. Pepe Jeans currently has around 220 brand outlets and available at more than 700 multi-brand outlets (MBOs) and online on leading e-commerce websites.

"Our target is to open 50 stores in India and take our store count to 270 by the end of this year," Kavindra Mishra, MD and CEO of Pepe Jeans India, told a news agency.

The company, which is currently busy liquidating its stock by offering heavy discounts before the onset of the new tax system from July 1, said that it is 95 per cent GST-ready.

Pepe Jeans is offering a 50% discount until the end of this month to clear stocks, as taxes will increase post GST and price escalation for retailers is likely to be a problematic task.
 
Readymade garments priced up to Rs 1,000 would be taxed at 5% post July 1, while clothes costing above Rs 1,000 would attract a tax of 12% from the current 7% tax. This is the main reason why retailers like Pepe are clearing existing stocks leading to rise of fashion sales across all platforms.
 
Pepe Jeans is also planning to roll out its omni-channel strategy for end of this financial year, it said.