Usha International, which today announced renewal of supply contract with Japan-based Janome, is looking to set up its first sewing machine facility in India in partnership with the Japanese firm.
The company said it's eying a turnover of Rs 350 crore in the next fiscal, a 40 per cent jump from the current fiscal.
"We have extended supply agreement with Janome for another 20 years with an intent to set up a sewing machine facility here. We will prepare a feasibility report in the next 12 months on it," Usha International Chairman Siddharth Shriram told PTI.
The company had entered into a supply agreement with Janome in 1993 for modern sewing machines to be sold in India. It depends on third party manufacturing for conventional models under 'Usha' brand name.
The Japanese firm supplies around 70,000 units of in a year and is sold under the brand 'Usha Janome' in India. The number is expected to increase to 150,000 units in next 2-3 years.
"We sell around 3.2 million sewing machines every year, of which 10 per cent are modern white sewing machines. In the next two-three years, we would like it to increase to 30 per cent," he said.
The company said it is also currently revamping its retail stores, penetrating deeper into smaller towns and cities and introducing more models this year.
Commenting on turnover expectations, Usha International Vice President Harvinder Singh said, "This fiscal we hope to close at Rs 250 crore. By next year, we expect to earn around RS 350 crore."
