300 international fashion brands set to launch in India in next two years: McKinsey
Over 300 international fashion brands are predicted to launch in India in the next two years, as the country is expected to become one of Asia’s most attractive consumer markets, McKinsey’s Fashionscope reported.
The management consulting firm McKinsey’s latest Fashionscope report, 'The State of Fashion 2019', predicts that over 300 international fashion brands will set up shop in India as the country’s consumer market continues to grow.
"Economic expansion is happening across Asia, but we expect that 2019 will be the year in which India will take centre stage," read the report.
The report cited India’s growing middle class, strengthened manufacturing sector, and economy as reasons why international fashion brands will want to open stores in India. The middle class is expected to grow at 19.4 percent per year, a swifter rate than in China, Brazil, and Mexico.
"As a result, India is set to move from being an increasingly important sourcing hub to being one of the most attractive consumer markets outside the Western world," read the report.
The report stated that many challenges still remain for brands entering the country such as the largely unorganised nature of the clothing market.
"Despite structural challenges that include inequality, infrastructure and market fragmentation, we expect strong economic growth, scale and rising tech-savviness will combine to make it the next big global opportunity in fashion and apparel," read the report.
India's apparel market will be worth 59.3 billion dollars (about Rs 4.12 lakh crore) in 2022, added McKinsey.
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