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Spanish sportswear label Kelme to enter Indian market
Jan '12
Kelme, a sportswear and fashion label from Spain, has signed a licensing and distribution agreement with Global Overseas to foray in Indian market, and intends to launch 10 outlets in the first year of its penetration.

According to Luca Gios, Director International Business, Kelme, India has been a part of their overseas expansion plan for the past three to four years, and the latest deal would enable the brand to finally enter the Indian market.

Ghaziabad-based Global Overseas is a division of Singapore-based Sports Fashion (SF). Kelme, which is a New Millennium Sports venture, has partnered SF for Asia-Pacific region.

Talking about expansion plans in India, Gios said they intend to open around seven to 10 outlets in India in the first year of their operations, with their first outlet in Delhi.

Recently, the Indian Government permitted 100 percent foreign direct investment (FDI) in single brand retail. So, Kelme could have proceeded with expansion plans on its own, but the decision to tie up with a local company is a part of the brand's international strategy, Gios said.

He informed that they globally follow a distribution and licensing model, however, the deal with Global Overseas also embraces domestic production.

Global Overseas would also be given licences to produce some of the items domestically, Gios said, and added that domestic production is expected to kick off within next two to three months.

Founded in 1977, the Kelme label is now present in 45 countries. The brand was the equipment sponsor for Spanish Olympic team during Barcelona Olympic Games in 1992, and even sponsored Real Madrid football club from 1994 to 1998.

Fibre2fashion News Desk - India

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