Luxury Car brands from Italy On Indian roads

By Denise Baptiste

Published: Friday, October 8, 2010, 17:00 [IST]

India will soon become fortunate with the arrival of top luxury brands from Italy, according to Fondazione Altagamma, a governing body for Italy"s multi-brand luxury cars. The move is to enhance the presence of such luxury vehicles in India with lot of investments aided by expansion activities too, said the body"s executive director Armando Branchini, when he addressed the CII Luxury Goods Forum. The forum consists of 70 members like Bvlgari, Fendi, Ferrari Gucci, Max Mara, Valentino, Venini and Versace and it is expected that by another decade, the total number of single brand retails of Italy"s luxury cars will be 200 which is 30 currently. This existing number seems to be little than those prevailing in the market of China where it is 400.

The investment spree is happening on slow process in India due to the norms and specifications for retail business like FDI, huge custom levy and space constraints for dealing with overseas luxury brands. India has been receiving Italian luxury cars since this decade but not in fast movement. He said the conditions seem to progress well paving way for promoted business for this luxury vehicles in India. Space restrictions are being relieved off with the ones like DLF Emporio in Delhi, Galleria in Mumbai and UB City in Bangalore. These spaces are providing good platform for display of luxury cars. Moreover, the government of India has initiated relaxations in terms of multi-brand retailing and FDI policy making hopes for Italian companies to expand further with investments and installation of showrooms. The practice is that the single brand retailing avails 51% FDI whereas multi brand retailing has no such facility.

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Article Published On: Friday, October 8, 2010, 16:52 [IST]

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