Chennai: Buoyed by the 26-per cent growth for the past three years, the furniture and the interiors group of the multi-product Godrej & Boyce Mfg. Co. Ltd., is considering setting up a unit in Hyderabad.

Says Anil S Mathur, chief operation officer, "We are on the look out for suitable site for a new unit in Hyderabad." With industrial growth taking-off in the Southern states, the Rs700-crore division will also invest around Rs15 crore in expanding its Chennai facility.
The idea is to expand the division's metal sheet product range as well as its sofa making capacity.

"We have been in the expansion mode during the past couple of years. Last fiscal we invested around Rs20 crore in expanding our Mumbai unit," says Mathur.

The company is also contemplating entering the hospital furniture segment like beds, nursing stations, patient examination tables and others. Already the division makes lab furniture.

From making office furniture Godrej entered the home furniture segment two years ago under the brand Perfect Home. Till then the only product it catered to the home segment was its ubiquitous steel cupboards. Today, the company offers the entire set of furniture required for a home. "Last year home furniture fetched us Rs200 crore and the target this year is Rs300 crore out of the total division's target of Rs900 crore," says Mathur.

The current year will also see the division increasing its export revenues. Earning around 3 per cent of its turnover from exports, the furniture division has hit a jackpot by securing a $3-million order for storage solutions from the UK.

According to Mathur, the division will be expanding its retail presence by increasing the number of showrooms to 60 from the 35 at present.

Speaking about the demand for the company's steel cupboards, Mathur agrees that the growth rate is slightly lower than in the earlier years. "This is due to the changing preferences for wardrobes among young couples. We have modernised our product offerings and are also in talks with the builders to offer customised storage solutions."