Raymond Chairman and Managing Director Gautam Singhania has said that since Makar Sankranti, there is a tendency to improve urban consumption and we hope that it will improve further throughout the year. In a conversation with Charlin D’Souza and Dev Chatterjee, Singhania said that the group is now working on holding less assets. Major excerpts…
How is your retail shops consumed in cities and villages?
Initially the retail business was a bit dull, but it has gained momentum in the last 7-8 days. It has been showing positivity since Makar Sankranti. We do not see any big challenge due to the wedding season till May. Overall, India is on the right path and I am convinced of the strengthening of India-US relations, which also presents promising opportunities for business. Although sometimes some challenges may arise, the way forward looks good.
Are you carrying forward your expansion plans for Remond Lifestyle?
Considering the current economic scenario, the growth may cause lethargy. Our expansion plans may probably be averted for six months but our attitude is clear. We have set a target of 900 stores and where it will remain, it has also been decided. only a matter of time. Even though the economy has been sluggish in the last few months, there is also scope for improvement.
Is there a plan to expand in your other businesses, given that corporate India is not able to expand rapidly due to weak demand?
Government spending has slowed down and should improve. The perception is also sluggish but it is not that the situation will remain the same. On the other hand, cement companies believe that the recession is temporary, so they are doubling their capacity. Overall, this is only a matter of time.
We are not investing in capital expenditure because we are working on having less assets. But if you see companies like Adani, then they are expanding rapidly. Aviation companies are increasing the size of their fleet and the real estate sector is also playing an effective role by increasing employment, consumption of cement, and the demand for steel. Even though the increase in all areas is not the same, it is happening.
It is expected that India will benefit the most from the political crisis in Bangladesh. Have you seen any increase in demand due to the arrival of customers in Indian companies like you?
We have definitely started getting its benefits. Some things may occur rapidly, some take time. But this is not the case in my industry. We are in the garment but they are in weaving and we are more in structural costumes. But one more thing is that most of our customers are now spending more time in India to understand the market.