French sporting goods giant Decathlon plans to significantly ramp up sourcing from India, aiming to nearly double the country’s share in its global production to 15 per cent by 2030, it said on Tuesday. The retailer, which operates over 130 stores across 55 Indian cities, also expects to spend $3 billion on sourcing from Indian suppliers over the next five years for both the domestic market and exports.
Already, Indian suppliers account for a large share of Decathlon’s global production in select products like rugby balls (60 per cent), umbrellas (35 per cent), and textiles (20 per cent). Overall, India’s share stands at 8 per cent.
Upping sourcing from India
By 2030, the French retailer expects 90 per cent of the quantities sold in India to be locally manufactured, up from 70 per cent today. As of now, nearly 99 per cent of Decathlon bicycles sold in India are locally made, followed by textiles (75 per cent), bags and accessories (65 per cent), and footwear (55 per cent).
Decathlon set up its first production office in India 25 years ago in Chennai, starting with some leather products for horse riding. The company currently has seven production offices in India, through which it sources from 83 local suppliers, spending around $480 million annually. The suppliers manufacture goods based on Decathlon’s technical specifications.
Popular for its wide range of affordable offerings, Decathlon is increasingly focussing on high-end sporting gear as it looks to cater to the full spectrum of buyers.
“It’s very important to understand that Decathlon is a multi-sport specialist and we accompany the beginner, the intermediate, and the pro,” Frederic Merlevede, its global production head, told The Indian Express. Merlevede added that Decathlon’s top of the range products also tend to be “20-30 per cent less expensive than the competition”.
India Bestsellers include backpacks, skipping ropes and T-shirts; footwear, swimwear new focus
In India, the products that move in large numbers include socks, 10-litre backpacks, skipping ropes, bottles, caps, and t-shirts. “There are several sports that are gaining popularity in India today. One of the biggest is outdoor sports – including hiking and trekking, which many people are taking up. Fitness is another major category on the rise, with activities like running and yoga seeing strong growth,” said Deepak D’Souza, Decathlon’s India production head.
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While India is a key market for Decathlon – which reported €16.2 billion in net sales globally in 2024 – 60 per cent of its business still comes from Europe. Merlevede said the India-EU free trade agreement (FTA), currently under negotiation, “will bring a lot of positive advantages” to both regions, and expressed hope it would be signed by the end of the year. If tariffs on sporting goods and textiles are reduced, the FTA could make it easier for Decathlon to supply European markets from India.
Going forward, the company will focus on expanding production of footwear, fitness equipment, and technical textiles – such as swimwear – in India. Over the next five years, it also aims to develop fitness electronics to help monitor vitals.
© The Indian Express Pvt Ltd