New Delhi, Oct 7 (Calcutta Tube) International luxury brands were Thursday urged to establish production bases in India for feeding international markets and not just consider this country a lucrative market for sales.
‘India was once upon a time looked upon as just a source of products. Gradually it has become a strong market. But I am here urging you (international brands) to create a balance between viewing India not only as a market, but also as a production base of luxury products,’ Minister of State for Commerce and Industry Jyotiraditya Scindia said at the Luxury Goods Forum 2010 organised by Confederation of Indian Industry (CII).
‘I am confident that you have a lot to offer to India, but India also has a lot to offer to the world – and that engagement will help us to showcase the diversity and vivacity of our country to the world,’ he added.
India’s luxury market was estimated at $4.67 billion in 2009, according to a report by A.T. Kearney. A number of international brands have opened retail stores across the country, mostly in key markets like New Delhi and Mumbai.
But Scindia hoped international brands will start producing their goods here as well.
‘Establish your production bases in India to supply Southeast Asia, West Asia and North Africa, because that is where India’s core competency also lies,’ he added.
Scindia, scion of the erstwhile royal family of Gwalior, said that India has a pool of artisans and their skills need to be adequately exploited.
‘We have millions of artisans with a pedigree of creating luxury good. These artisans need four things – they need scale, they need technology infusion, they need marketing and lastly consistency – all of which you can provide.
‘If you can infuse these in what used to be a mass product, you can transform it into a niche or a bespoke product. And that is what I would like to see happen more and more from luxury houses from across the world,’ said Scindia.