Lepakshi plans 10 more showrooms

Lepakshi, the state-owned handicrafts corporation, plans to expand its marketing network by opening more outlets.

The Andhra Pradesh Handicrafts Development Corporation, better known as Lepakshi, has been marketing the crafts of 1.5 lakh-odd craftsmen of the state through 14 sales emporia. Of the 14 showrooms, 12 are in the state while one is in New Delhi and another in Kolkata.

Under phase one, the corporation plans to open seven outlets, one each at Khammam, Cuddapah, Kakinada, and Paryatak Bhavan, the upcoming mega tourist complex in Hyderabad.

Three more outlets are being planned in the city by going in for the franchise model in January 2006. Under phase two, the corporation intends to open a second showroom in Delhi and one each at Bangalore and Pune by the end of next fiscal.

Speaking to Business Standard, B Jayaraj, managing director, Andhra Pradesh Handicrafts Development Corporation, said, "We have acquired land at Khammam and Cuddapah with the help of the district collectorates concerned. We plan to open one more at Kakinada in the immediate future. On the whole, we are targeting to open 10 outlets by the end of the next fiscal."

Lepakshi already has three sales emporia in the city. Claiming brisk business at the city showrooms after their revamp, Jayaraj said the turnover of the Musheerabad outlet had gone up to Rs 75,000 a day from Rs 25,000.

"The Gunfoundry showroom too has seen a rise in sales from about Rs 1.5 lakh to Rs 2 lakh a day."

Stating that the corporation was targeting a total sales turnover of Rs 45 crore this financial year as against the Rs 36 crore achieved in the last year, Jayaraj said, "We have already crossed sales of Rs 23 crore by November 2005, Rs 7 crore more as compared to the total sales achieved during the corresponding period last year. We are confident of achieving sales of Rs 20 crore more by the end of this financial year."

Lepakshi would showcase its repertoire in fairs to be held in the United Kingdom and France after its successful participation in Russia, he said.

The corporation is in talks with an NRI group keen to open an outlet in New York on a 'shared mart' agreement.

"We have been planning to open outlets outside India for sometime. There has been good response from an NRI group in New York. We expect them to return to us by February 2006," he said.

Of the Rs 36 crore turnover made in the last fiscal, about Rs 10 crore was from the 70-odd exhibitions held by the corporation and the remaining from sales through emporia. The corporation earned a net profit of Rs 1.5 crore in the last fiscal and targets Rs 2 crore this fiscal.