What’s the reason behind specialising in premium woven bottom wear?
Meenakshi India started in 1985 and until 2005, woven bottoms wear had some restrictions in international trade quotas. We believed that rather than becoming a general apparel manufacturer, specialising in a particular segment would help build expertise. As the restrictions were removed, our specialisation in premium trousers, shorts and jackets and our focus on improving quality helped us create a distinct identity in the global market.
Who are your key customers and what are your major export markets?
We cater exclusively to the premium segment and not for the mass market. Our clientele includes international brands such as Gant, Marc O’Polo, Lyle and Scott, Nordstrom and Donald J Pliner. Our key export markets are the United States, the United Kingdom, Europe, Canada and Australia, with the USA contributing nearly 50 per cent of our business. The focus on quality and value addition, rather than price has helped us build long-standing relationships with global brands.
How have tariffs and geopolitical uncertainties impacted your export business?
Meenakshi India operates on Free on Board (FOB). The company’s responsibility ends once the goods are loaded onto the vessel. The shipping cost and import duties are managed by the customer. But it affected us when customers increased the overall cost of the garments. So to preserve the long-term business, the company reduced prices, accepted low-profit orders and also started focusing on domestic orders to operate at full capacity. Due to this situation, our exports dropped from 95 per cent to 85 per cent in recent years.
How will free trade agreements influence the textile industry’s growth?
India’s textile industry is entering a second growth phase. While Bangladesh and Vietnam once enjoyed significant cost advantages, the China+1 strategy is encouraging global buyers to diversify sourcing. Coupled with the UK FTA and proposed agreements with the EU and US, India’s global competitiveness is set to strengthen.
What are the key challenges?
Manpower availability is the biggest challenge as people prefer jobs in retail and other service sectors these days. To solve this, we recruit workers from different states, provide accommodation and conduct training and skill development courses to equip them with mandatory skills. The focus is on continuous recruitment and upskilling of our existing workforce to improve productivity.
What role does technology and sustainability play in your operations?
Sustainability and technology are central to Meenakshi India’s operations. The company uses organic cotton when requested, recycles water and powers one manufacturing unit entirely with solar energy. Automation improves design and fabric cutting, while AI enhances line balancing, quality analysis, identifies production bottlenecks and boosts overall productivity.
What are the company’s growth and expansion plans?
Meenakshi India currently generates around Rs 150 crore in annual revenue and produces nearly 18 lakh garments a year. The aim is to reach around Rs 500 crore by FY 2030-31, depending on the progress of the free trade agreement. In addition to that, Meenakshi India plans to expand capacity, pursue vertical and horizontal expansion and explore manufacturing opportunities in Nepal to diversify geopolitical risks.