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Published
Jan 10, 2018
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Khadi Commission to partner with leading retailers to boost sales

Published
Jan 10, 2018

Khadi & Village Industries Commission (KVIC) is partnering with leading retailers to boost khadi sales and tap into the ever growing middle class segment across the country.


Raymond


KVIC’s tie ups with retailers will help improve khadi’s brand visibility thereby improving sales and generating higher revenue. KVIC recently joined hands with fashion retailer Globus to launch a sub outlet ‘Khadi Korner’ at one of Globus’s store at Noida and expected to replicate the model in other cities like Chennai, Varanasi and Ahmedabad next month.
 
The commission is also in talks with India’s top retailers like Shoppers Stop and Big Bazaar to open similar concept stores at their outlets. If the talks materialise, it will give KVIC a huge boost as these retailers have strong presence in metros and tier II, III markets across India.

The Khadi and Village Industries Commission (KVIC) which operates under the Indian ministry of micro, small and medium enterprises (MSME) recorded sales of Rs 2,005 crore (approx $309 million) for the last financial year.
 
It has set a sales target of Rs 5,000 crore (approx $770 million) for fiscal 2018-19 and partnerships with retailers on a revenue sharing model will definitely help KVIC achieve the target as there is no operational cost involved.
 
“Gone are the days when loyal customers travelled long distances to reach khadi bhandars. Today, availability is one key focus area and we want to be available at the doorstep,” KVIC chairman V K Saxena was quoted as saying by the Times of India.

“The initial sales numbers are promising. On Sunday, sales were estimated at around Rs 28,000, just a fraction of the over Rs 25 lakh that the flagship store in Delhi’s Regal Building notched,” he added.
 
Apart from retailers, KVIC is already collaborated with leading corporates firms like Raymond, Allen Solly, Turtle, Arvind Ltd to launch their khadi brands in the country.
 

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