V-Mart Retail raises apparel prices for the first time in 15 years

01 March 2022, Mumbai:

For the first time in 15 years, value fashion chain V-Mart Retail has increased prices of apparels in various categories by around 10 per cent to offset the impact of the yarn prices on its margins.

The retailer also does not rule out further prices increases amid an uncertain backdrop of war in Ukraine, continued inflation, and other financial challenges. Through the price increase, V-Mart Retail aims to improve sales by 25 per cent and EBITA for the South India market to 5 per cent, says Anand Agarwal, Chief Financial Officer.

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The retailer plans to increase prices further by another 7 per cent if GST rate on apparels grows to 12 per cent. Though till date, V-Mart’s sales have not been impacted by price increased, any future hike in prices may lower to sales volumes, adds Agarwal.

RELATED ARTICLE: VMART Retail Ltd Q3 FY22 results

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*Figures mentioned in the above article have been sourced from Fashion Network article.