News: Liberty Shoes plans expansion
(BL 27/03/2006) Karnal - Liberty Shoes Ltd will set up three new manufacturing units to double its production capacity to one lakh pairs of footwear per day in next three years and would invest Rs 160 crore for the expansion plans.
"We are coming up with three plants in 2006-07. We are increasing our capacity from 50,000 pairs per day to 75,000 pairs within the year and to one lakh pairs in three years," Liberty Shoes CEO Adesh Gupta told reporters here.
While one unit would be at Roorkee in Uttaranchal, two units would be located at Ponta Sahib in Himachal Pradesh.
The company would invest Rs 50 crore for the Roorkee plant for manufacturing leather footwear and Rs 30 crore for the two units at Ponta Sahib for non-leather shoes, he added.
Besides, the company would invest another Rs 80 crore by 2008 for further expansion, he said adding the funds would be sourced through internal accruals and bank loans in 1:1 ratio.
When asked about the export strategy, he said the company was looking to increase its presence in the US through its tie up with Wal-Mart, the world's largest retailer, and termed it as one of the reason for ramping up the capacity.
"We had tied up with Wal-Mart a year ago and our footwears are on display on trial basis in 35 of their stores," Gupta said, adding that the company would be supplying more to the retail giant from next financial year.
"We are coming up with three plants in 2006-07. We are increasing our capacity from 50,000 pairs per day to 75,000 pairs within the year and to one lakh pairs in three years," Liberty Shoes CEO Adesh Gupta told reporters here.
While one unit would be at Roorkee in Uttaranchal, two units would be located at Ponta Sahib in Himachal Pradesh.
The company would invest Rs 50 crore for the Roorkee plant for manufacturing leather footwear and Rs 30 crore for the two units at Ponta Sahib for non-leather shoes, he added.
Besides, the company would invest another Rs 80 crore by 2008 for further expansion, he said adding the funds would be sourced through internal accruals and bank loans in 1:1 ratio.
When asked about the export strategy, he said the company was looking to increase its presence in the US through its tie up with Wal-Mart, the world's largest retailer, and termed it as one of the reason for ramping up the capacity.
"We had tied up with Wal-Mart a year ago and our footwears are on display on trial basis in 35 of their stores," Gupta said, adding that the company would be supplying more to the retail giant from next financial year.
posted by InCar Group Press Room at 18:22
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