After exports, Sadaqat Ltd turns attention to domestic market

Textile conglomerate to launch KHAS retail chain this week.

FAISALABAD: As many manufacturing units associated with the textile industry have been grappling with power and gas shortages in Punjab for the past few years, there are some which have successfully beat the bad times by relying on their big size and a smooth cash flow.

Among these is Sadaqat Limited, a textile conglomerate in Faisalabad that is making significant strides and has been expanding its business every year. Though the company has hitherto exclusively focused on the international market, it has now enhanced its manufacturing capacity to cater to the domestic market as well.

This year, its exports surged 62% to reach $105 million, which comes at a time when some other manufacturers are struggling for their survival.

Sadaqat Limited, an A-rated company by JCR-VIS Credit Rating Company, will launch a retail chain with the name, KHAS, across Pakistan and also overseas.

This year, the company has invested Rs800 million in increasing the production capacity from 3.5 million metres to 5.5 million metres a month. To fight with energy crisis, it is relying on large generators.

“Sadaqat will open a KHAS lounge on Friday (tomorrow) and will go for public listing on the Karachi Stock Exchange next year. KHAS literally means special and naming the chain in Urdu is only meant to come up with special products for our customers,” Chief Executive Officer Khurram Mukhtar said in an interview to The Express Tribune.

“We are investing Rs200 million to open 10 stores in Pakistan and the number will be increased to 100 stores in four years,” he said.

KHAS will present its customers with a wide range of bed linen, hand-knotted carpets, rugs and home textiles that the company exports to Harrods and other top-notch international store chains.

Decorative accessories and trendy ready-to-wear apparel will also be put on display at these stores. It will offer a wide variety of crockery, cutlery and table linen as well.

The company has already established its name in foreign markets and has design and distribution companies in the UK, the US and Hong Kong to cater to customer demands worldwide, Mukhtar said. “It is high time to introduce our own brands and go into the retail segment,” he added.

He disclosed that the company would be opening stores in Dubai, India and Saudi Arabia. “Our aim is to provide one-stop solution to our customers in both domestic and international markets,” he said.

Sadaqat’s retail chain has a lot of potential in Pakistan and in the international market its special focus will be on Asia. The company plans to offer product categories that are not offered by other retailers, Mukhtar said.

He stressed that there were not many lifestyle stores to compete, but Sadaqat’s expertise and experience in the field gave it an edge over the few that were around.

“Quality and finishing that we will offer at KHAS will not be found elsewhere,” said Hina Shoaib, Managing Director and the brain behind this initiative.

She believed that the increasingly style-focused clientele had created an ambiance of pure luxury and indulgence premised on modern and contemporary interior and designing.

KHAS’s objective was to provide a personalised service, exhibit the highest level of professionalism and offer expertise, she said, adding its vision was to provide an overall superior retail experience unheard of in Pakistan before.

Published in The Express Tribune, April 18^th, 2013.

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