Walkaroo to set up manufacturing unit in Rajasthan to tap northern market

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Famous footwear brand Walkaroo International Ltd is setting up a new manufacturing plant in Rajasthan with an investment of Rs 70 crore as it plans to boost its presence in the northern market, according to a company official.

With two-thirds of revenue coming from the southern region, the company expects to reap revenue of Rs 2,100 crore in the current financial year, Walkaroo International Ltd Director Rajesh said on Sunday. Kurian.

According to him, the Coimbatore-based company caters to 1.5 lakh outlets through its 750 distributors.

“We have almost 5% market share in the footwear market and we are at the bottom of the pyramid. What we manufacture is synthetic polyurethane. In our new factory in Rajasthan, we will produce hawai (slippers) in rubber that supplies markets like Bihar and Uttar Pradesh,” he told PTI.

Elaborating, he said, “The new factory is in progress. We will manufacture the hawaii rubber products there. We already have a factory in Haryana where we manufacture synthetic polyurethane products.”

The new facility will see investments worth Rs 70 crore and the company is expected to create around 600-700 new jobs in Rajasthan through the unit, he said in response to a query.

On the group’s finances, he said the company recorded revenue of Rs 1,850 crore last year and this year has set a target of raising Rs 2,100 crore.

“We also export our products to the Middle East and we have a factory in Dhaka to serve the Bangladesh market. We are also planning to enter the African market…” he said.

Regarding the impact of the COVID-19 pandemic, he said the company experienced a drop in sales in April 2021 as only 50% of business was done, while in May last year, they had fallen by another 25%.

“However, in June 2021, we could see the demand. Again in January, there was the introduction of GST which increased from 5% to 12% for shoes sold below Rs 1,000. Then “We had the Ukraine-Russia conflict. So we were forced to raise the price of our products at the time,” he said.

Over the past three months, price increases have started to come down and the company and other organized market players are “well stocked” to meet the demand for the upcoming festival, Kurian said.

The domestic organized footwear market was valued at Rs 55,000-Rs 60,000 crore, he said.

(Only the title and image of this report may have been edited by Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

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