Jaya Shree Textiles, part of the Rs 20,000-crore Aditya Birla Nuvo Group, which markets the brand “Linen Club”, has hiked the price of its fabrics by 4-5 per cent since the beginning of this month.

Poor crop in Europe — from where it sources flax for linen — and rupee fluctuations have been cited as key reasons for the hike.

Company sources said the minimum price of products, which previously stood at an average of Rs 750 a metre, has been hiked to Rs 800.

“We have hiked prices this month to pass on a part of the increase in input costs. Prices have gone up by around 4-5 per cent,” Mr S. Krishnamoorthy, President – Textile Division, Aditya Birla Group, said.

According to company sources, input costs have gone up by about 54 per cent since March this year.

Poor crop in Belgium and France from where we source our raw material, coupled with the volatile rupee has pushed up our input costs. We have passed this on to the customers.

The entire range of linen fabric offerings is sold as a premium category product in India.

Market share

Linen Club has 54 standalone outlets and its products are offered across 2,500 multi-brand retail outlets in the country.

It enjoys a 70 per cent market share in the category.

Jaya Shree Textiles also offers wool yarn. A half of its revenues from woollen yarn are through exports; while the remaining 50 per cent is from domestic industrial sources.

Expanding capacity

The company's sole manufacturing facility at Rishra in Hooghly, West Bengal, has an annual capacity of nine million metres.

According to Mr Krishnamoorthy, the company is planning to increase manufacturing capacities at the Rishra unit. Proposals in this regard are being prepared, he said.

>abhishek.l@thehindu.co.in

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