๐‹๐ฎ๐ ๐ ๐š๐ ๐ž: ๐‚๐ก๐š๐ง๐ ๐ž ๐ข๐ง ๐ฆ๐ข๐ง๐๐ฌ๐ž๐ญ ๐Ÿ๐ซ๐จ๐ฆ ๐ญ๐ซ๐š๐๐ข๐ง๐  ๐ญ๐จ ๐ฆ๐š๐ง๐ฎ๐Ÿ๐š๐œ๐ญ๐ฎ๐ซ๐ข๐ง๐ !๐Ÿงณ๐Ÿ’ผ

๐Ÿ“Over the last few years, both VIP and Safari have focused on reducing their dependence on China for sourcing soft luggage.

๐Ÿ“Whilst VIP has its own manufacturing plant in Bangladesh, Safari has started third-party outsourcing from Bangladesh.

๐Ÿ“For VIP, sourcing mix from China stood at 11% in 1QFY23 (40% in 1QFY20), with share of own manufacturing increasing to 64% vs 35% earlier.

๐Ÿ“Separately, increasing share of hard luggage (45% now vs 25-30% pre-covid) would further lead to WC efficiencies given in-house manufacturing by VIP and Safari.

๐Ÿ“With both the players (VIP/Safari) increasing overall/hard luggage in-house manufacturing capacity, change in mindset from trading to manufacturing is visible

Source: Ambit