India is the second-largest market for Hettich: Chairman

German furniture fittings major says India has overtaken China and the US to become its second-largest market as it expands manufacturing and targets double-digit growth

India is the largest market for German furniture-fittings brand Hettich after its home country, and has overtaken China and the United States to take second place. 

 

The company is aiming to grow in double digits, which is higher than the industry average of 7-8 per cent. 

 

“We see the highest growth rate (in India). India is an extremely important market for us,” Andreas Hettich, chairman, Hettich Group Advisory Board, told Business Standard in an interview. 

 

The company did not specify its target for India. 

 

Hettich India on Thursday inaugurated its manufacturing unit in Indore. It spans 25,700 square metres.

 

The firm looks to position India as a key global manufacturing hub.

 

The Indore facility produces a range of furniture fittings, which include hinges, sliding profiles, aluminium profiles, SL 16+ systems, and cube plus systems, making it one of Hettich’s most significant manufacturing locations globally, it said in a release.

 

The facility will cater to rapidly growing demand in India and key global markets, the note further added. 

 

“This is Hettich’s first dedicated undermount drawer runner manufacturing facility in India and forms part of the company’s overall investment of approximately ~2,000 crore in the country,” it said in its release. 

 

Hettich said most of its products manufactured here were for the Indian market and the share of exports still remained small.

 

“While exports are small at this time, we foresee the share will grow in the future,” he said.

 

However, he couldn’t specify the extent to which exports from India could rise, adding, “Unfortunately, the predictability of geopolitics these days is not that good, so it's very hard to give some predictions for the future”. 

 

While talking about the impact of the West Asian conflict on its business, Andre Eckholt, managing director, Hettich India (Saarc, Middle East & Africa) said: “We have certain production processes that require gas and we have to find alternative sources.”

 

He said the company followed a multiple-source strategy for components and it was prepared for this.