State-owned National Textiles Corporation (NTC) has entered the garment trade and launched its own garment brand - Indian Republic Ė with an initial range of men's wear products.
NTC, an undertaking of the union textile ministry, will provide high-quality garments at reasonable prices to the fashion-conscious young consumers, union minister for textiles KS Rao said while formally launching the brand on Wednesday.
The India Republic brand, which will initially cater to men's wear, will subsequently cover the entire garments range, including women's wear, the minister stated.
NTC plans to set up over 300 retail stores for selling the Indian Republic brand of readymade wears over the next two years.
The corporation plans to launch over 100 showrooms by end of the current financial year, and 300 stores by end-March 2015, either on its own or through the franchise route, RK Sinha, chairman and managing director of NTC, said at the launch of the retail chain in Hyderabad.
Besides the Hyderabad store, the Indian Republic brand has one store each in Chennai, Bangalore and New Delhi. NTC has also tied up with four garment manufacturing units for supply of garments to these stores.
NTC proposes to set up a composite textile unit in Andhra Pradesh at an investment of Rs500 crore, textiles minister Rao said, adding that his ministry has asked the state government to find a suitable piece of land for the project.
The Indian Republic brand of men's apparel will be offered in the range of Rs399 to Rs1,499 against the average price of branded products with similar specifications of around Rs999, said Aloke Banerjee, director (marketing) of NTC.
The Indian Republic brand is expected to reach a turnover of Rs250-300 crore by 2015, according to the textile minister.
AP, a large cotton producing state, has not yet fully utilised its potential, the NTC's initiatives are aimed at realising AP's full potential in the textile sector, the minister said.
He said the union textile ministry was willing to promote at least four textile parks in the state that could attract investments of up to Rs4,000 crore in the textile and garment sector.
The minister also pointed to the large untapped export potential for garments. He said the new garment brand is also targeting overseas markets in addition to the domestic market.
Garment exports from the country has been projected to reach $20 billion this year against exports worth $17 billion achieved last year.
NTC, which reported a turnover of Rs700 crore during the financial year 2011-12 is looking to double it by the year 2015.