The $2.6-billion Godrej group, which counts 400 million Indians as its consumers, is now targeting the US government for business.

“We have got general sales contractor (GSC) certification which now allows us to bid for US government contracts. Our metal storage unit, seating and system furniture now qualify to be supplied under tenders awarded by the US federal and state governments. This potentially opens up an opportunity worth billions of dollars for us,” a top Godrej group official told Financial Chronicle.

Firms headquartered in the Far East have largely dominated this business, the official said.

In India, Godrej & Boyce already has experience in supplying cabins and other furniture units for the Indian Navy. The company is also involved in the country’s aerospace programme and therefore has experience of working with the government on classified projects.

To increase its visibility in the US market, Godrej is among a few Indian furniture firms taking part in the Neocon trade fair held in Chicago in June every year.

The move to get US GSC certification is part of the Godrej group’s strategy to tap high value export markets across the Americas and West Asia.

The group has also sent select products to the European markets for BS certification so that it can tap similar opportunities in the EU market. In the first quarter of calendar 2011, the firm is planning to participate in the Milan fair in Italy where it hopes to tap business opportunities with the BS certification.

“Our turbo door and sliding door storage units are being sent to Australia for certification in that market,” said the senior Godrej official.

To cope with the expected increase in demand, Godrej is investing in additional production capacity. In Shirwal it expects to invest Rs 80-100 crore in capex for home furniture, and also increase the capacity of its Bhagwanpur, Uttarakhand, facility for manufacturing items like office chairs and sofas.

Meanwhile, the group on Thursday announced that Godrej Interio had signed an exclusive pan-India partnership with Knoll International, a global leader in innovatively designed furniture and furnishings. Godrej will open three flagship Knoll experience centres in Mumbai, Delhi and Bangalore in the next five years, followed by regional expansion across India. The experience centres will enable architects, designers and consumers to have an opportunity to experience these modern designs and select relevant products to create unique spaces, said a press release.

Financial Chronicle had on November 17, reported the impending tie-up between Godrej and Knoll.

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