KG Denim eyes northern market

Coimbatore-based K G Denim is now eyeing the northern denim market and plans to establish its retail footprint there.

K G Baalakrishnan, chairman, K G Denim Limited, told Business Standard that the company is planning to promote their flagship brand Trigger in North India by setting up over 120 exclusive outlets within three months. This will be done through Trigger Jeans Limited, a wholly-owned subsidiary of K G Denim, headquartered at Coimbatore.

"In order to meet the increasing demand in the denimwear sector, we plan to triple our production capacity from 2.5 lakh pieces per month. We aim at producing a million pieces per month in the next two or three years," said Baalakrishnan.

The company is also planning to set up a laundry in Coimbatore with Italian collaboration which is likely to handle 5,000 units per day and will eventually double its handling capacity by 2006. However, Baalakrishnan declined to disclose the name of the Italian company.

K G Denim is a leading player in the mid-segment denim wear, which comes in the price tag of Rs 500-800 per piece. The company has a 70 per cent market share in the branded denim segment in the South alone. More than 60 per cent of their output is exported to all over Europe and countries like USA, Mexico and Turkey.

Commenting on the competition from the Chinese market, Baalakrishnan remarked, "China offers products at a low price. But we are not in that segment. We are focussed on customers who are ready to pay a price for good quality," he added.

K G Denim also intends to diversify its product range by introducing casual shirts, inner wears and women's wear during the post Diwali season. The company, in a bid to explore the growing home textile sector, is likely to introduce bed covers and bedspreads within a year.