**Shein and Reliance Retail to Expand Indian Supplier Network**
Fashion retailer Shein, in collaboration with Reliance Retail, is set to significantly increase its Indian supplier base and initiate international sales of Shein-branded apparel produced in India within the next six to twelve months. This strategic move comes as Shein, originally founded in China and now based in Singapore, seeks to diversify its sourcing in response to U.S. tariffs on Chinese imports.
Currently, Shein aims to boost its Indian suppliers from 150 to 1,000 within a year. The partnership with Reliance is focused on licensing the Shein brand for domestic use in India, with Reliance managing manufacturing, supply chain, sales, and operations exclusively for the Indian market.
Shein, known for its affordable fashion items, ships products directly from approximately 7,000 suppliers in China to customers across 150 countries, with the U.S. being its largest market. The retailer initially entered the Indian market in 2018 but faced challenges when its app was banned in 2020 due to government actions against companies linked to China amid border tensions. Shein re-entered India in February under a licensing agreement with Reliance, launching SheinIndia.in to sell locally produced clothing.
Reliance, led by Mukesh Ambani, has already contracted 150 garment manufacturers and is in talks with an additional 400 to meet the ambitious target of 1,000 factories producing Shein-branded clothing. The initial focus will be on listing these India-made products on Shein’s U.S. and British websites, with ongoing discussions about the timeline for this expansion.
The partnership aims to create a robust network of Indian suppliers for both domestic and global sales of Shein-branded clothing. Shein’s rapid growth in India reflects a broader interest from major global retailers in the Indian market, particularly in the fast-fashion sector.
**FAQ**
*What is the goal of Shein and Reliance Retail’s partnership?*
The goal is to expand the Indian supplier base to 1,000 factories within a year, enabling the production of Shein-branded clothing for both domestic and international markets.