Malabar Gold & Diamonds plans to invest about ₹4,000 crore to enhance its retail and manufacturing capacity in next two years.
The company will invest ₹2,646 crore in India and rest in the overseas market.
Of the overall domestic investment, it plans an investment ₹1,000 crore in Maharashtra over next two years to expand its retail outreach and enhance existing manufacturing capacity.
The company has already invested ₹700 crore in the State and has 20 operational outlets. It plans to open 25-30 new stores over two taking its overall employee strength in Maharashtra to 4,000 from 2,600.
It has two manufacturing units in the state one each for gold and diamond jewellery. After the planned brownfield expansion, the manufacturing capacity in the both the units will go up to ₹4,000 crore from ₹2,400 crore currently.
Besides Maharashtra, the company is looking open outlets in Gujarat, Madhya Pradesh, Delhi, Uttar Pradesh, Tamil Nadu, Andhra Pradesh and Rajasthan.
MP Ahammed, Chairman, Malabar Group said Mumbai being the financial capital of India and a major global jewellery and diamond trading hub, the company has set up its base for its national operations in the city to leverage its strategic advantages,
Spread over 50,000 sq ft, the national-hub in Mumbai will bring multiple operations such as retail, procurement and supply chain, e-commerce, digital gold, digital marketing, CRM, omnichannel operations, merchandising and bullion, corporate gifting and B2B divisions, human resources and legal under one-roof, he said.
The company has deployed over 450 employees to run the operations at Mumbai hub.
With the planned expansion, the company expects its turnover to increase from 40,000 crore to ₹60,000 crore by FY25.
Globally, Malabar Gold plans to open 12 new stores in the international markets in two years. The company will set up a manufacturing unit in Bangladesh by end of this year to boost exports.
“We have received an interesting proposal along with concession in gold import duty for setting up manufacturing unit in Bangladesh,” said Ahammed.