New Delhi: Gucci, Louis Vuitton, Frette, Brioni. You don’t have to travel to France, Italy, Dubai or the USA to buy from the big boys of luxury any more. They are finally in India and mean serious business. But as they tap into the Indian market how many will be looking at manufacturing in India?
Gucci, has a long-standing policy of not manufacturing anywhere else in the world except Italy. Some luxury apparel labels like Brioni, Canali are not looking to manufacture in India either. But US- based Leiber, known for manufacturing luxury handbags, says it some day may put a made in India label. Leiber has a small manufacturing set-up in India already that helps sets stones for the handbags.
Frette, an Italian luxury linen firm that is looking to enter the Indian market also manufacture’s some products here for its hospitality segment. But they do predict some difficulties in expanding its manufacturing base in India.
Experts say luxury brands in home furnishings and gems and jeweler may eventually start manufacturing here. But others may look at sourcing and not necessarily manufacturing from India.
Luxury conglomerate Louis Vuitton has decided to open a factory in Pondicherry close to Chennai for its India operations. FDI in single brand retail, which is currently 51%, is expected to go up. The Indian luxury industry feels this may translate into more tie-ups, more jobs and eventually a better exposure for brand India.