Biesse India Targets 80% Manufacturing Localisation by 2026

Biesse
Image Courtesy: Biesse

Biesse India, a key player in manufacturing advanced machinery for brands like IKEA, Nilkamal Industries, and Godrej Interio, is setting its sights on achieving 80% localisation in production within the next two years. Presently, 68% of its products are manufactured domestically.

As a subsidiary of Italy’s Biesse Group, contributing 29% to the global profits, the company is intensifying efforts to localise its supply chain. “Post-COVID challenges and global geopolitical uncertainties have underscored the importance of having greater control over our supply chain,” shared CEO Sayeed Ahmed. “Our immediate objective is to achieve 80% localisation.”

Operating from two facilities in Nelamangala, Bengaluru, Biesse India exports 75% of its locally produced machinery. Highlighting India’s growth potential in furniture manufacturing, Ahmed observed, “India’s per capita furniture consumption is minimal. For the Indian middle class alone to match Vietnam’s furniture consumption levels, we would need a 16-fold increase.” He anticipates a fourfold growth in the industry by 2030.

To meet the rising demand, the company plans to invest over ₹200 crore in a new factory with expanded production capacity. Biesse India, known for its CNC woodworking and stone and glass machining equipment, reported a turnover of ₹450 crore in FY24 with a 10% EBIT. Over the past five years, it has achieved a 10% CAGR. Among its esteemed clients are Featherlite Office Systems, Wakefit, Wurfel Kitchens, Merino Industries, Greenlam Industries, Monarch Office Systems, and Stanley.

Biesse India, the Indian subsidiary of Italy-based Biesse Group, is a leading manufacturer of advanced machinery for woodworking, glass, and stone processing. Headquartered in Bengaluru, the company operates two state-of-the-art manufacturing facilities in Nelamangala, catering to both domestic and international markets, with 75% of its production exported globally.

Known for its cutting-edge CNC machines, Biesse India serves prominent clients like IKEA, Nilkamal Industries, Godrej Interio, and Wakefit. With a strong focus on localisation, the company aims to produce 80% of its machinery domestically by 2026, up from the current 68%. Driven by consistent growth, Biesse India achieved a turnover of ₹450 crore in FY24 and has maintained a 10% compound annual growth rate over the past five years.