Bata India today said it outsources about 50% of its products sold and would not exceed the same from this level.
"Outsourcing is 50% and we want to keep the ratio it this level," Bata India Chairman Uday Khanna said here today at the AGM.
He was responding to questions raised by shareholders on lower capacity utilisation of company's plants.
Bata said it had a team of 60 dedicated professionals for outsourcing.
Khanna said its own plants would focus on specialised products.
However, Khanna said, the company would be investing Rs 45 crore in three of its plants in Patna, Batanagar and Bangalore over three years.
"First, we will take up Patna plant in the first year followed by Batanagar in West Bengal and Bangalore will follow after that. Each plant would require Rs 15 crore investment," Managing Director Rajeev Gopalkrishnan said.
Bata would continue to expand its exclusive stores and associated brands like Footin and Hush Puppies and some 100-130 stores are planned in 2012.
Total investment in the year would be Rs 100 crore out of which 70 crore would be in stores and rest in plant modernisation and some other corporate use, Gopalkrishnan said.
He said the company would focus in ladies and kids segments which contribute 22% of revenues and was expecting 5-6% increase in 2012.
Gopalkrishnan said tier II and III cities were showing good growth and as a strategy the company would stay aggressive in these markets that offers 30-40% revenues.