In an interview, the CEO of lighting and consumer durables states that the company is investing significantly to up its distribution footprint and exports
Surya Roshni is witnessing a clear shift in consumption patterns, with rural markets increasingly gravitating towards ‘affordable premium’ products, driven by rising aspirations, improved connectivity and greater product awareness. Vasumitra Pandey, Chief Executive Officer, Lighting and Consumer Durables, Surya Roshni said that the company is aligning its growth strategy with this demand shift, targeting a significant expansion in its distribution footprint with increased investment.
In an interview with BW Retail World, Pandey noted that the company currently services around two lakh billing points monthly and aims to double this to four lakh over the next two to three years, aided by its entry into new categories such as wires, cables and pumps. At the same time, it is sharpening its global play, expecting exports to scale up sharply from about Rs 50 crore this year to nearly Rs 200 crore in the next financial year, backed by rising demand across markets including the United States, Europe, Africa and emerging regions like Russia and Belarus.
Demand Dynamics And Distribution Push
Pandey explained that consumer preferences are undergoing a sharp shift across both urban and rural markets, with speed, aspiration and performance emerging as key drivers. In urban centres, the rise of quick commerce is reshaping buying behaviour, as “people want fast material,” although traditional ecommerce continues to coexist and evolve.
At the same time, rural markets are showing strong aspirational demand, with consumers increasingly leaning towards “economically premium products” backed by better connectivity and access to information.
This growing awareness is pushing a decisive move away from pure price sensitivity towards value and performance-led purchases. “The consumer’s trend is towards performing products rather than brands,” he noted, adding that while brand legacy still matters in terms of “reliability, trust and legacy,” younger consumers are placing higher emphasis on features and functionality.
Aligned with these changing consumption patterns, the company is scaling up its reach aggressively. It currently services around “two lakh billing points per month” across primary and secondary channels and expects this to expand significantly with its entry into wires and pumps. These categories are expected to unlock new channels beyond traditional electrical distribution.
“We are targeting that by next two to three years, we will be able to increase it by double,” he said, with a goal of reaching “roughly four lakh billing points per month.”
Capex, Integration Focus
To support demand and future growth, the company is stepping up investments across categories and manufacturing capabilities. It has already invested “close to Rs 25 crore in wire category” and is planning a similar additional investment, subject to board approval, driven by strong market acceptance.
“We are expecting close to Rs 15 to 20 crore investment in fan and appliances category, which will be at our Kashipur unit,” he added. A key strategic focus remains backward integration to strengthen long-term manufacturing capabilities. “Backward integration is the key if you want to be in manufacturing for a longer run,” he said, highlighting investments under the PLI scheme and local production at Kashipur and Malanpur units.
“We have also invested close to Rs 25 crore in PLI scheme and started some product manufacturing at our Kashipur as well as Malanpur factory. Now, we are evaluating further backward integration for that investment, which would be close to Rs 30 crore, which is also under evaluation,” he explained.
Pandey noted that the company exploring new opportunities in “solar… EV chargers and inverter,” as part of its broader diversification roadmap.
Seasonal demand patterns in the lighting business are undergoing a structural shift, with the company no longer seeing sharp summer-driven fluctuations. “That old type of fashion has been slowly changing,” he said. “We do not see any dip in this particular season of summer in lighting,” indicating a more stable, year-round consumption trend in the category.
However, summer continues to remain a critical growth period for appliances, particularly fans and coolers. “This will be our peak quarter,” he said, adding that not just the current quarter but “next quarter will also be a good demand quarter for fan as well as for our cooler category,” highlighting strong seasonal tailwinds in these segments.
Turnaround Year Ahead
The company is positioning the upcoming fiscal as a pivotal phase for its lighting business, with execution now taking centre stage after groundwork in new categories. “Next year will be a turnaround year for us,” he said, noting that both manufacturing readiness and initial market placement for wires have already been completed.
He added that the company’s presence across segments, from consumer to professional lighting and from conventional to smart products, puts it in a strong position to capitalise on emerging demand trends. “It will be a great performing year in terms of top line for Surya Roshni through lighting business,” he said, signalling confidence in the growth outlook.
A key lever for this growth will be exports, which are witnessing sharp momentum across multiple geographies. The company is already supplying to markets including the US, Europe and Africa, and has recently expanded into newer regions such as Russia and Belarus. “Our export has been started in Russia, which was not easy,” he said, adding that further opportunities in the region are under discussion.
The export business is expected to scale up significantly, with revenues projected to jump from “roughly… Rs 50 crore this year” to “Rs 200 crore in next financial year.” Alongside this, the company expects “double digit higher growth” across LED and other categories. It is also exploring new revenue streams, with the goal of positioning itself as a potential solution provider for EMS manufacturing across sectors such as drones, defence, automotive and toys.
