Men's underwear market in india

 21 December 2022, Mumbai

The phrase "innerwear is coming out of the closet" has been bandied for over a decade. Still, at last, it is openly displayed in shops and on internet marketplaces, where more and more customers feel at ease purchasing basic and upscale innerwear.

Increasing consumer awareness of personal hygiene, more excellent disposable money, an on-the-go lifestyle, higher living standards, and shifting customer tastes are all driving this fast-moving industry globally.

Proliferation

Increased product visibility and the proliferation of contemporary retail forms, both offline and online, are contributing factors. The market is divided into two categories under the general heading of innerwear: men's wear and the fancier women's wear market.

Emerging scenario

Additionally, both markets are expanding significantly. The global womenswear market is anticipated to rise at a CAGR of 6.4% to reach US $ 55.83 billion by the end of 2024, while the international men's innerwear segment is expected to grow at a CAGR of 5.8% to reach US $ 13.6 billion by that time. Sales are being boosted by the global expansion of mono-brand and multi-brand stores and organized retail penetration.

Native market

Unfortunately, however, Indian innerwear producers—both in the menswear and womenswear segments—concentrate more on the native market, ignoring the enormous potential that exists elsewhere. Even those who engage in the export market primarily focus on the men's segment because it has lower margins.

Only a few high-end lingerie producers in India compete in the international market. But given that the Indian market is ready for the most influential brands, its size is expected to increase.

Size of pie

According to a 2016 analysis by the Intimate Apparel Association of India (IAAI) and Wazir Advisors, the Indian underwear market is currently valued at close to Rs. 24,000 crores (US $ 4000 million). By 2020, it is projected to account for Rs. 47,000 crores (US$ 7833 million), or just under 8% of the anticipated global clothing market.

The market value for men's underwear is approximate Rs. 8,500 crores ($1417 million). According to the survey, the market is anticipated to grow to Rs. 16,500 crores (US $ 2750 million) by 2020 due to rising disposable income and shifting customer attitudes toward the category.

Competitive landscape

It makes sense that domestic players are growing. Numerous well-known companies, such as Rupa and Co. Ltd. (MacroMan, Frontline, and Euro), Lux Industries Ltd. (Lux Cozi), Dollar Industries Ltd. (Bigboss, Club), and Maxwell Industries, have carved out a special place for themselves in the Indian innerwear market (VIP, Frenchie).

Dixcy Textiles, Tirupur, a significant player in the Indian underwear business, was recently acquired by Advent International, a renowned US-based private equity investor. Dixcy, which employs close to 3,500 people, intends to raise money from private equity groups at a valuation of between Rs. 3,000 and Rs. 3,400 crores (US $ 500 and US $ 567 million).

Speaking with any company in this sector reveals that, despite a wide range of difficulties, they are optimistic about expanding the entire innerwear sector, including men's underwear, lingerie, shapewear, etc.

Heading toward

Experts believe India's innerwear industry is still in its infancy and has several challenges, such as a lack of technical and high-quality product production capabilities, a shortage of technicians and lingerie designers, and a reliance on China for high-quality raw materials.

Due to this, raw material import duties are high, and product prices are high. Yusuf explained that the IAAI holds exhibitions like Galleria Intima to solve the shortage of raw materials in India and progressively boost exports from that country.

Through seminars, IAAI also raises awareness, assisting Indian brands and manufacturers in expanding their knowledge and becoming more competitive.

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