Raigam Group ventures into furniture manufacture

The Raigam Group of Companies ventured into the manufacture of wooden furniture recently.

Wooden furniture is increasingly becoming an expensive luxury item and out of reach of the common man as wood is a scarce natural resource. The Raigam group will manufacture high-quality furniture and affiliated products that are affordable and supplement that with customer care.

The project will be undertaken by a newly incorporated company, The Natural Choice (Pvt) Ltd., a fully owned subsidiary of Dream Life Science (Pvt) Ltd (DLS) (the cosmetic and personal care manufacturing arm of the Raigam Group).

The envisaged investment is estimated to be around Rs. 1,000,000,000 spread over two years.

The project will provide direct employment to over 300 people and a further 200 indirect employment opportunities.

The project is on track to gradually reach its full capacity in two years with an annual turnover exceeding Rs. 750 million per month.

The proposed product rage includes household and office furniture, mattresses, PU foam, particle board, wood and plastic composite products.

The products will be differentiated on the basis of two value propositions: 'Fox' brand - for products at affordable prices and 'Infinity' brand - for luxury and premium grade and flagship products.

The company has already begun the manufacture and distribution of various household and office furniture through its islandwide dealership network of over 100 dealers.

Construction work on a manufacturing and storage facility of over 100,000 square feet is on track on a 12 acre site in Palpola, Bandaragama. Various machines have been commissioned to produce mattresses and PU foam in April, and further machinery have been ordered and are being fabricated, including a state-of-art particle board manufacturing plant, which will be commissioned in the latter part of this year.

Over Rs. 300 million has been invested on the project and over 80 jobs have been created.