Raymond sees surge in inquiries post-Bangladesh crisis: CMD Singhania
Singhania highlighted that India is strategically advantaged due to its comprehensive supply chain capabilities, encompassing all stages of production
Raymond, a leading textiles and apparel company, has reported receiving a significant number of inquiries from global firms following the recent crisis in neighbouring Bangladesh. Gautam Hari Singhania, Chairman and Managing Director, Raymond, stated that the company is prepared to seize this opportunity. He explained that Raymond, which has heavily invested in its garmenting facilities to become the third-largest suit maker in the world, is well-positioned to benefit from the current circumstances.
When asked about the potential shift of some garmenting business from Bangladesh to India, Singhania expressed optimism. He noted that while this transition may take some time, there are already positive indications, as evidenced by the increasing inquiries.
Singhania highlighted that India is strategically advantaged due to its comprehensive supply chain capabilities, encompassing all stages of production. This integration is particularly beneficial for companies like Raymond, which operate in both the fabric and garmenting sectors. This full-spectrum capability not only reduces time but also enhances delivery efficiency for international brands.
He further explained that Bangladesh lacks a fabric supply base, which presents a significant opportunity for India. India’s established fabric industry allows the country to leverage its local resources, unlike Bangladesh, which primarily focuses on garment production. Singhania also mentioned that Raymond’s recent capacity expansion has come at an ideal time, allowing the company to be ready for new opportunities despite higher labour costs in India compared to Bangladesh. He emphasised that India’s end-to-end supply chain capabilities and political stability, along with a large, consumption-driven middle class, make it an attractive option for international brands.
Raymond has recently divested its Raymond Lifestyle division following a demerger with its parent company and is preparing to list this new entity. This move will consolidate all of Raymond’s apparel-related businesses under a single umbrella.
In addition to the situation in Bangladesh, Singhania pointed out that global companies are adopting a ‘China+1’ strategy, which is enhancing India’s position as a preferred sourcing destination. He said this strategy is proving advantageous for Raymond, leading to stronger relationships with existing customers and opening up multiple opportunities for new markets and customer acquisition.
He also stressed that businesses need a diversified strategy and should avoid relying on a single source, suggesting that the quality of apparel work in India surpasses that of China. According to Singhania, China is focused on quantity and cheaper production, while India offers better value and quality.
Raymond’s Garmenting Unit serves as a white-label manufacturer and an integrated supplier of high-value clothing products to leading international brands. The company’s latest annual report indicates that Raymond has the capacity to produce 7.5 million pieces of jackets, trousers, and shirts in India and 3.2 million pieces in Ethiopia.
