In an exclusive interview with Ramesh Chandra, we delve into the story of Subin Mitra, the visionary co-founder of Groyyo. This dynamic startup is transforming the fashion and lifestyle supply chain. Born out of a passion for empowering small manufacturers, Groyyo connects South Asian SMEs with global markets, ensuring they meet compliance standards and attract top brands. Join us as Subin shares the inspiring journey of Groyyo, from its humble beginnings during the pandemic to becoming a key player across India, Bangladesh, Vietnam, and Turkey. Discover how Groyyo is revolutionizing global trade, one SME at a time.
Ramesh Chandra: Can you tell us about what Groyyo does?
Subin Mitra: We are a B2B supply chain business helping SME manufacturers across South Asia connect with global buyers, export, and grow their capacity utilization. We are predominantly focused on fashion and lifestyle. We started in Delhi NCR, but now we are strong across India, Bangladesh, Vietnam, and Turkey.
Ramesh Chandra: What are your backgrounds, and how did you and Prateek start this business?
Subin Mitra: Neither of us comes from a business family. I started my career at Bain, and Prateek has extensive experience in textiles. He was heading sourcing for Zara in India and ran his factory. His expertise has been crucial for us.
Ramesh Chandra: What led you to start Groyyo?
Subin Mitra: We started three years ago, seeing that millions of SME manufacturers in South Asia were at only 50-60% capacity utilization. They lacked enough orders to run their businesses, yet they were ideally poised to meet global demand patterns. SMEs can handle small MOQs and fast turnaround times while being cost-effective. We saw a gap in their capabilities—better design, technology, compliance, and sustainability. That’s where we come in, enabling these SMEs to attract global brands and improve capacity utilization.
Ramesh Chandra: How did the idea for Groyyo come about?
Subin Mitra: The idea stemmed from seeing a strong business opportunity, especially with production moving away from China. Global retailers now want to source quickly, cheaply, and in small quantities. We saw multiple players solving different parts of the supply chain but felt SMEs needed a one-stop solution. That’s how the Groyyo philosophy of being a comprehensive partner for SMEs was born.
Ramesh Chandra: Can you share some initial challenges you faced while establishing Groyyo?
Subin Mitra: There were quite a few challenges, like starting during COVID was tough. Manufacturing never shuts down and operationalizing the business was tricky. Building credibility in a B2B business takes time, so the first nine to ten months were slow, with minimal revenue. However, we focused on a few large international accounts, which helped us build case studies to win more business. We also focused on strengthening one hub before expanding to others.
Ramesh Chandra: How does the Groyyo platform empower MSMEs in the fashion and lifestyle industry?
Subin Mitra: We help SME suppliers in several ways. First, we help them get more orders, improving their capacity utilization by 25-30% within six months. We also assist in procuring raw materials at better prices by aggregating demand. On the factory floor, we implement our proprietary SaaS, enabling digital operations in vernacular languages. Additionally, we support factories in meeting compliance standards to attract global brands.
Ramesh Chandra: You have raised significant capital recently. How do you plan to utilize these funds?
Subin Mitra: This was our third round of funding. We raised $5 million recently. We plan to use these funds on exports and enhance our SaaS. We are making our SaaS more comprehensive, turning it into an operating system for factory operations. These are the two main areas for fund deployment.
Ramesh Chandra: How does the government of India’s focus on MSMEs impact your platform?
Subin Mitra: The government’s push to help SMEs grow has been a strong driver for us. We have tied up with ODOP and are in the process of partnering with ONDC to help SMEs in remote areas win global business.
Ramesh Chandra: How do you manage operations in diverse regions like the UAE, Bangladesh, Vietnam, and Turkey?
Subin Mitra: We spend a lot of time on the ground and hire strong local talent in each market. This approach has enabled us to proliferate outside of India. We set up our Dhaka office within nine months of starting the business.
Ramesh Chandra: You have partnered with global retailers like Inditex and Next. How did these partnerships come about?
Subin Mitra: It took nine to twelve months to secure our first big customers. Once we did, it was easier to attract more. Our international sales and marketing team, which includes people with strong local connections, played a crucial role.
Ramesh Chandra: How do you ensure that factories on your platform meet the standards required by global retailers?
Subin Mitra: Our in-house compliance team audits vendors and helps them meet required standards. We ensure that every Groyyo factory meets our standards for labor conditions, hygiene, and technology before placing orders.
Ramesh Chandra: Can you share a success story of an MSME that benefited from Groyyo?
Subin Mitra: One of our first factories was run by a gentleman named Pitamji. He started with a 50-60 machine setup and now operates a 300-machine setup across three factory units, significantly growing his business over the three years he has worked with us.
Ramesh Chandra: What are your long-term goals for Groyyo, and where do you see the company in the next five years?
Subin Mitra: Our long-term goal is to become the single largest aggregated apparel supply chain outside of China within the next five years. To achieve this, we have already established strong operations in India and Bangladesh. We have recently started operations Vietnam and looking to expand in Turkey and are working on strengthening our presence there. Looking ahead, we plan to enter additional markets such as Indonesia and Jordan, which are significant apparel hubs. Ultimately, we aim to build the largest global supply chain in the apparel textile industry.
This conversation with Subin Mitra highlights Groyyo’s strategic approach to revolutionizing the apparel supply chain industry by empowering SMEs and bridging the gap between small manufacturers and global markets. Groyyo’s commitment to sustainability, compliance, and technology continues to drive its rapid growth and success.
https://groyyo.com/
