KUALA LUMPUR, Sept 18 — The Malaysia External Trade Development Corporation (Matrade) has urged more Malaysian private label manufacturers to leverage on the growth of private labels and store brands in India by exporting to the country.

With a population of 1.2 billion people, India is the world’s second largest population and has experienced growth of between 5.0 per cent and 8.0 per cent in the private label industry.

The demand for international private labels, especially for fast-moving consumer goods, is booming in India.

According to Matrade’s market report produced by its trade office in Chennai – capital of the southern state of Tamilnadu — India is one of the fastest growing consumer markets in the world.

"Its retail system is becoming ever more organised, indicating a good prospect in strengthening Malaysian manufacturers footprint there,” it said in a statement today.

Currently, the share of private labels in India is around 10 per cent and by 2025, the industry is forecast to have a market share of around 15 per cent of the country’s total retail segment.

Among the private label sectors in Malaysia that can dominate the Indian market are the food sector, non-food categories such as cosmetics, health & beauty, toiletries, auto care products, household cleaners, personal care and fabric care.

Some of the private label goods in India manufactured by Malaysian companies are diapers, surgical gloves, food products, hair styling and beauty products, as well as baby care products.

Malaysian manufacturers of private labels keen on exploring the Indian market are encouraged to contact Matrade offices at Chennai or Mumbai by emailing to chennai@matrade.gov.my or mumbai@matrade.gov.my.

Between January to July 2017, Malaysia’s total trade with India recorded double-digit growth of 37.1 per cent to RM35.44 billion, compared with the same corresponding period of 2016.

Malaysia’s exports to India rose by 17.4 per cent at RM20.49 billion, comprising mainly electrical & electronic products, palm oil & palm-based agriculture products, crude petroleum, metal, chemical & chemical products.

In 2016, India was also ranked as Malaysia’s 10th trading partner globally and 9th in Asia. — Bernama