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Hettich Group to create 1,000 new jobs in India as it embarks on expansion drive

German Furniture brand Hettich group said it will add nearly 1000 jobs in India with its investment of Rs 700 crore to expand its manufacturing units in the country. The company opened a plant in Vadodara and had a groundbreaking ceremony for one in Indore last week, which will bring its total manufacturing units to five. The Indore plant is expected to begin commercial production by the last quarter of 2025.

India is the company’s second largest market in terms of turnover after Germany, largely due to the growing middle class, Andreas Hettich, Chairman of the Hettich Group Advisory Board told ET. “More and more consumers [in India] are now able to afford furniture and kitchen with our hardware for a better life…We can serve the domestic demand better as we have production in India,” he said. The majority of what is produced here is sold in the country itself, he added.

The company said it had benefited a great deal from the government’s Make in India policies. With lower labour costs than China, the company is investing more in Indian production units. “As part of our global strategy, the Hettich Group is on a mission to make India our next big manufacturing hub after Germany,” Hettich said.

There are still many things to work on to make investing in India easier, he added. “Infrastructure is one of the main concerns, transport, logistics, energy supply, and so on. Administration is another…regulations here are quite complex and slow down the business at times,” he said.

While the company is infusing more capital in Indian units, it doesn’t have any collaborations with Indian firms on the horizon yet. “Our main focus is to build our own footprint to invest in our own production,” said Hettich.

Earlier this month, the company announced that it would acquire Italian hardware manufacturer FGV Group pending antitrust approval. “Hettich is a more aspirational, premium luxury brand, whereas FGV is more value for money with the Italian touch. It adds to our portfolio and helps us reach more consumers,” he said.