Benetton applies for FDI in single-brand retail

index.jpgSource : Livemint 25 May 2017

New Delhi: Two companies, including fashion chain Benetton Group, have sought approval of the government to enter India through the “FDI in single-brand retail” route.

The Benetton Group sells apparel under the brand name of United Colors of Benetton.

Benetton India Pvt. Ltd has sought approval to undertake e-commerce and retail trading of imported goods, according to the department of industrial policy and promotion (DIPP).

Karnataka-based Actoserba Active Wholesale Pvt. Ltd wants to undertake single-brand retail trading and e-commerce of Zivame branded lingerie products. Two foreign individuals—Katarzyna Dmoch and Rami Shinnawie—have also sought nod from the government to set up a 100% foreign-owned Indian retail arm of Caracole Interior Designs, Qatar.

Currently, foreign direct investment (FDI) up to 49% is permitted under the automatic route but beyond that limit, government’s nod is required. Foreign investment is allowed subject to certain conditions, which require products to be of a “single brand” only and to be sold under the same brand globally.

New Delhi: Two companies, including fashion chain Benetton Group, have sought approval of the government to enter India through the “FDI in single-brand retail” route.

Zara just opened its largest outlet in Mumbai; online store coming shortly

download (7).jpgSource : Busines Standard 5 May 2017

Spanish fashion chain Zara is looking at opening larger stores of 30,000-50,000 sq ft in the country. Its older stores have an average size of 20,000 sq ft. On Thursday, it opened its 51,300-sq ft store in Fort area of Mumbai, its largest in the country.

Zara, which opened its first store in India in 2010, has 20 stores now. It also planned to absorb smaller stores into bigger ones, wherein it would close smaller ones and take their merchandise, and absorb staff into larger ones, said Jesus Echevarria, chief communications and corporate affairs officer at Inditex, the parent firm of Zara.

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Luxury brands on a high as children turn fashionistas

Source: The Economic Times, Jun 20, 2016

NEW DELHI: Fancy a ‘Monster’ bow tie, a ‘Lightbulb’ blazer or aTafetta dress for your little one? From Armani Junior and Fendi Kids to Baby Dior and some Indian festive couture, the designer wear market for kids in India has plenty to leave parents and their little ones spoilt for choice. According to a March 2016 category briefing by Euromonitor International, spends on branded childrenwear products are on the rise in urban centres in India with kidswear expected to reach sales of Rs 1.6 trillion by 2020.

Business for Armani Junior, the designer wear kids brand from the eponymous designer whose average transactions hover around Rs 15,000, grew by 15-19% over the last financial year in India. Armani Junior operates through a store in DELHI and services various customers across the country via special orders and requests.

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Spanish fashion brand Massimo Dutti to make India debut in Delhi

indexSource: Business Standard, May 04, 2016

Mumbai: Massimo Dutti, the Spanish premiumfashion brand from the Inditex stable which also owns Zara, is entering India after years of wait due to regulatory hurdles. Its first store will open in a Delhi mall with 5,027 sq ft of retail space. Globally, Massimo Dutti has 755 stores across 73 countries.

The Zara group competes with Sweden’s H&M, which entered India last year. The Foreign Investment Promotion Board (FIPB) had in 2012 rejected the proposal for Massimo Dutti citing violation of a rule framed by the Department of Industrial Policy & Promotion (DIPP) that says an investor must own the brand it is proposing to bring to India. In the case of Massimo Dutti, the application was made by Zara Holdings Netherlands, but the brand is owned by Euro 13.8-billion Spanish retail chain, Inditex.

Zara leases largest retail space by international brand in India

Source: The Economic Times, Apr 12, 2016

MUMBAI: In the largest ever space transaction by any international retailer on high streets across the country, Spanish fashion chain Zara has picked up 50,000 sq ft carpet space in South Mumbai’s most prime location of Flora Fountain, said two persons familiar with the development.

The world’s biggest fashion retailer has leased the space on the ground floor of Ismail Building diagonally opposite HSBC’s India head office located in Fort.

The retailer will be paying an astronomical annual rent of Rs 30 crore and the lease will run for tenure of minimum 15 years with a five-year lock in. “The transaction has been inked and Zara will start working on its interiors in the next couple of weeks. Monthly rent for the same Rs 2.5 crore,” said one has been set at of the persons mentioned above.”The brand was looking for an apt location with blend of vintage and contemporary outlook and Flora Fountain fit the bill perfectly .”

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Online fashion portals review their model

download (3)Source: Business Standard, Apr 04, 2016

New Delhi: It is not only Flipkart and Amazon which are trying to restructure their seller universe after the 25 per cent cap on vendors, part of the guidelines issued by the department of industrial policy & promotion (DIPP) on 100 per cent foreign direct investment (FDI) in e-commerce.

Jabong, Zivame, Koovs and Limeroad are among those in the sector with significant inventory and backed by foreign investors, exploring options to comply with the guidelines, wherein DIPP has said, “FDI is not permitted in the inventory-based model of e-commerce’’.

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Zara becomes the first apparel brand in India to cross $100-million sales mark

ZARASource: The Economic Times, Jul 10, 2015

MUMBAI: Spanish fashion brand Zara has become the first apparel brand in India to cross the $100-million sales mark, five years after it opened its first shop here.

Inditex Trent, the joint venture between Zara brand owner Inditex and Tata Group’s retail arm Trent, posted 24% annual growth in sales for the year ended March 2015 at Rs 721 crore ($114 million), Trent said in its annual report released on Thursday. In FY13-14, it had sales of Rs 580 crore. However, sales growth has nearly halved from a year ago period when, it was 43%.

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