FDCI commissions KPMG for strategic study on Indian fashion design industry

Fashion Design Council of India (FDCI) - the non-profit, apex body

representing the fashion design industry in India, has commissioned

KPMG Consulting for an extensive, first ever study of the business

models required for fuelling growth in the Indian fashion design

industry. The decision to commission the study was taken by Mr. Vinod

Kaul, Executive Director - FDCI, in consultation with its board

members. FDCI has been actively working towards corporatisation of

fashion labels in India and this study comes as a strategic move aimed

towards facilitating designer-corporate tieups, to expand the designer

prêt market in the country.

An earlier study commissioned by FDCI through KSA Technopack, pegged

the fashion design market in India at Rs. 180 crore (including both

couture and prêt labels). This figure seems miniscule, when compared to

the Rs. 67,000 crore-apparel industry that exists in India today, which

includes both the domestic market and exports.

THE FDCI-KPMG study aims to provide an impetus to the Indian 'Fashion

Design' industry by identifying strategies and models for fuelling

growth. The 6-7 month study will be completed in three phases and would

cover all key aspects related to fashion design, sourcing,

manufacturing, distribution and retailing of designer apparel in India.

The initial phase of this study will observe how the fashion design

industry has risen in the West to become a multi-billion dollar

industry. It will identify & understand various types of business

models and arrangements that have evolved in this industry globally and

filter relevant ideas and experiences to develop models applicable in

the Indian context. The subsequent phases will seek to build an

understanding of the Indian Fashion Design industry as it exists today

and leverage this understanding to identify strategies and business

models that can propel growth in the industry. Based on the above

findings FDCI will conduct roadshows and presentations targeted at

broad segment of stakeholders - corporates, retailers, venture

capitalists, etc to initiate tie-ups that may be strategic, operational

or financial in nature.

The key differentiating factor of the study, is the attempt to actively

include all the key stakeholders of the industry e.g designers, fashion

students, academia, retailers, corporates, textile companies,

exporters, etc. While students from NIFT, Pearl Academy etc. would be

involved in the various research projects to ensure participation and

learning, designers, textile companies and retailers would be consulted

to highlight critical operational issues.

According to Mr. Vinod Kaul, Executive Director, FDCI, "The landmark

study will promote corporate interest in fashion labels and put the

industry on a business footing. One of the problems that the fashion

industry faces today is that we have no models to go by - Should

designers look for joint ventures or should they operate on a retainer

basis? This study would evaluate various models to answer these

questions and would be a catalyst for the fashion design industry's

growth in India."

Anurag Mehra, senior KPMG executive believes that, "Fashion is serious

business abroad. In India, the industry is just about waking up to the

fact that designer wear can thrive in a large-volume-retail format.

However in order to do that, designers and corporates need to recognise

their respective capabilities and open channels of communication. While

a designer possesses creativity, intellectual capital and a potential

brand name, a corporate possesses management expertise, financial

capital and the infrastructure required to expand business. If the two

can be successfully married, it will result in a win-win situation for

both parties."

Notes to the Editor

FDCI, a not for profit organisation, is the apex industry body in the

field of fashion design in India. Top-notch professionals in the

fashion industry came together in December 1998 to form the Fashion

Design Council of India (FDCI). The Council has been set up to

consolidate the position of Indian fashion industry in the global

marketplace and embodies the first step taken towards according

corporate status to the fashion business in India. Its primary

objective is to provide a cohesive platform for Indian designers and

act as the mouthpiece of the industry at all relevant platforms, in a

bid to promote Indian fashion-both at home and abroad. FDCI is actively

involved on promoting the 'business of fashion' in India. Some primary

objectives of the FDCI include:

Ø The development and growth of the fashion design industry

Ø Providing a platform for Indian fashion designers with the aim

of promoting Indian fashion wear in an International arena.

Ø Restructuring the industry by promoting backward and forward

linkages with mills, manufacturers, retailers etc.

Ø Fostering growth of the Indian Fashion Industry with support

from the Ministry of Textiles and other related Governmental bodies.

Ø Promoting affordable fashion through prêt-lines, to take fashion

mainstream

Ø Address the changing needs of the industry as and when they

evolve.

KPMG is one of the worlds largest and most respected international

professional advisory firms. Since its inception in the 1860s, KPMG

has consistently been recognised by the international business

community, governments, institutions and the media as being the Global

Leader in providing professional services. KPMG operates in 1100

offices in 160 countries and with over 6700 partners and total staff of

more than 100,000. The annual world wide turnover of KPMG last year

exceeded US $10.7 billion.

Rahul Mehta

Sr. Account Manager

Good Relations (India) Ltd., New Delhi

Tel: 011 - 23715727

Mob: 9810033625

Fax: 011 - 23715725

Email: rahul.mehta@griflagship.com