Malabar Gold & Diamonds to invest Rs 1,600 cr on 56 stores
Gold and diamond retail chain Malabar Gold & Diamonds will be investing Rs 1,600 crore in FY22 to launch 56 stores globally with 40 across India and 16 internationally in FY22 to further boost its retail presence across the globe. The move is expected to generate over 1,700 jobs.
In India, the expansion strategy is centred in states like Tamil Nadu, Telangana, Andhra Pradesh, Karnataka, Maharashtra, Delhi, West Bengal, Uttar Pradesh, Odisha and Kerala. Internationally, the expansion will be in markets such as Singapore, Malaysia, Oman, Qatar, Bahrain and UAE. This is in line with the company’s expansion plan to triple its retail network from over 250 showrooms this year to 750 outlets by 2023.
“Our aim is to be number one in the segment and we will strengthen the gifting aspect of jewellery that is fast growing in India and other countries and use it as a growth-driver of our jewellery business,” Malabar Group Chairman M P Ahammed said.
Of the total planned expansion, 12 stores have already been earmarked for opening in the first quarter of FY22 itself. The brand has already secured retail spaces in key markets in Chennai, Lucknow, Hyderabad, Mumbai, Pune and Bengaluru as well as towns like Eluru, Mancherial, Solapur and Ahmednagar.
“Increased focus from the government on infrastructure and a good monsoon has seen rural markets and Tier 2/3 towns across India rebound strongly from the pandemic. Having sensed the momentum in the recent festive sales, we are gearing up in a big way to cater to these underserved markets with new standards of customer comfort and convenience,” said O Asher, Managing Director, India Operations of Malabar Gold and Diamonds.
International expansion will see the brand expand its retail presence at Little India in Singapore, Kuala Lumpur and Penang in Malaysia, Ruwi, Baushar and Al Khoudh in Oman, Jeryan Jenaihat and Rawdat in Qatar, Bab al Bahrain in Bahrain and Al Zahia, Silicon Oasis, Muweilah and Dubai Gold Souk in UAE.
The group has recently forayed into gold bullion trade and its gold bars are available for jewellery manufacturers, small gold traders and retail investors desiring to invest in physical gold for purchase. It has also begun offering gold jewellery at a uniform price across the country under the ‘One India One Gold Rate’.
The gems and jewellery sector currently contributes around 7 per cent to the country’s GDP and 15 per cent to India’s total merchandise export.
Dear Reader,
Business Standard has always strived hard to provide up-to-date information and commentary on developments that are of interest to you and have wider political and economic implications for the country and the world. Your encouragement and constant feedback on how to improve our offering have only made our resolve and commitment to these ideals stronger. Even during these difficult times arising out of Covid-19, we continue to remain committed to keeping you informed and updated with credible news, authoritative views and incisive commentary on topical issues of relevance.
We, however, have a request.
As we battle the economic impact of the pandemic, we need your support even more, so that we can continue to offer you more quality content. Our subscription model has seen an encouraging response from many of you, who have subscribed to our online content. More subscription to our online content can only help us achieve the goals of offering you even better and more relevant content. We believe in free, fair and credible journalism. Your support through more subscriptions can help us practise the journalism to which we are committed.
Support quality journalism and subscribe to Business Standard.
Digital Editor
