Top Asian businessman Mukesh Ambani is now going to enter into the underwear manufacturing industry. For this, Mukesh Ambani’s company has partnered with an Israeli company. With this move by Mukesh Ambani, Reliance Industries will face tough competition from multinational brands like Jockey and Levi’s, Speedo. For this business, Reliance Industries has created a joint venture with an Israeli company named Delta Galil. It is one of the largest underwear manufacturing companies in the world. In such a situation, now with the help of this Israeli company, Reliance will not only design underwear but will also sell its global brand.
Currently, Delta Galil is a global licensee of many multinational brands like Calvin Klein, Tommy Hilfiger, Columbia. Moreover, it has also recently signed a deal with Adidas and Polo Ralph Lauren. Let us know in detail about the joint venture of Mukesh Ambani and Delta Galil…
What is Mukesh Ambani’s plan?
According to the Economic Times, the joint venture, formed with equal equity between the two companies, will manufacture underwear for existing Reliance brands and will also bring Delta’s global portfolio of its own brands such as 7 For All Mankind and Necessities to India. Delta Galil Company works with many multinational brands. The company has R&D centers in three different countries around the world. The company focuses on fabric innovation in Israel, socks in Oregon, and women’s underwear in China. The company has 7 registered patents, 12 patents pending, and 8 active technology brands.
Reliance is expanding the business
Reliance Retail has acquired many domestic and global retailers and innerwear brands in the last few years. These include brands like Clovia, Zivame and Amante. These three had made total sales of over Rs 2,000 crore in the fiscal year 2023-2024. According to Wazir Advisors, the innerwear segment in India has registered a growth of over Rs 61,000 crore between the year 2013 and 2023. According to the advisory, it is expected to reach Rs 75,466 crore by the year 2025. In which the current market share of women’s innerwear and comfort wear is 60 percent. After this, men’s wear accounts for 30 percent and the rest is kidswear.
Why will demand increase?
According to the Economic Times, women are expected to grow rapidly in the mid- and premium segments. The reason for this is that their disposable income is higher. Also, women like to wear comfortable and stylish underwear. Apart from this, due to the growing interest in fashion, the men’s segment is also expanding rapidly.
