Medak, India — Shree Malani Foams (SMFPL) claims to be the first Indian PU mattress supplier for the Swedish furnishing retailer IKEA.
The Medak, Telangana-based plant of SMFPL started supplying IKEA’s Middle Eastern market in January 2018.
‘Sourcing for the domestic market would start once IKEA opens first flagship store in Hyderabad in next couple of months,’ said Siddharth Malani, managing director, SMFPL.
IKEA expects to open 25 stores in India by 2025.
SMFPL has invested INR 500 m ($7.7 m) in the Medak plant. That includes INR 150m to make specialised mattresses and to handle the IKEA project.
The Medak plant has capacity to handle 10 kT/year PU and production capacity for 120,000 mattresses.
The mattress maker declined to share details of size or duration of the IKEA contract.
Malani said the size of the Indian flexible PU slabstock market ‘is estimated to be INR 40 bn annually’.
Shree Malani was incorporated in 2007, and claims to be among the top-three PU foam manufacturers in the country. Malani said his business has grown consistently at 25% CAGR in the last decade. It is now aiming for 35% year-on-year growth for next three years, he added.
The company recorded turnover of INR 1.15 bn in 2017, and has set a target of INR 2 bn for sales revenue in 2018.
It wants to have a number of production and distribution locations across the country, Siddharth Malani said.
Shree Malani said it has a number of innovative products in its range. These include: Ortho-Foam, which it describes as a hard foam substitute for ‘spurious materials’ such as expanded polyurethane. It also has a range of greengel – temperature management foams. The company also produces compressed foam rolls, which it exports to the UAE, according to Siddharth Malani.
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