Arvind Ltd eyes 10,000 crore textile business in 5 years
Arvind Ltd is hoping to reach 10,000 crore rupees (approximately 1.5 billion US dollars) in textile based revenue in the next four to five years as it will also invest heavily in capacity enhancement and new facilities.
Over the next three to five years, Ahmedabad’s Arvind Ltd. will invest around 1,500 crore rupees (approximately 225.4 million dollars) in the textiles section of its business. This investment will be put towards capacity enhancement for its existing production units and setting up new facilities as well. The hope is that this investment will help the business to reach its revenue target of 10,000 crore rupees for the next four to five years.
As well as investing in facilities, Arvind Ltd. is also exploring new business areas such as athleisure, a product category that is expanding swiftly in India. In the coming years, Arvind expects for its compound annual growth rate (CAGR) to remain at 16 percent and above and the business is currently de-merging its engineering and branded apparel businesses. Arvind Fashions will soon be a separate entity and Arvind Ltd. will focus on textiles such as denim, which makes up a large chunk of sales, as well as knits and voiles.
Recently speaking to the Press Trust of India (PTI), the CEO of Arvind Ltd.’s Lifestyle Fabrics division, Aamir Akhtar, said: "Overall the textiles business for us is around Rs 6,000 crore and we would take it to Rs 10,000 crore over the next 4 to 5 years." Akhtar went on to say: "Rather than just manufacturing fabric, a large part of it would be converted into garments as well… the significant customer base which we have, we would be one stop supplier for them and give them entire thing end to end."
On March 19, Arvind Ltd. showcased its latest denim collection called “Gravity” in New Delhi in collaboration with Invista, one of the world's largest integrated producers of fibres. The show took place at the 2018 edition of the annual event, Arvind Festive.
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