The Hindu Business Line : Naushua Electronics, TCL of China to set up unit in Vizag

SRI Naushua Electronics Pvt Ltd, an electronic goods assembly and maintenance unit, and TCL India Holdings Pvt Ltd, a 100 per cent subsidiary of the $4-billion TCL Corporation of China, are setting up a Rs 100-crore manufacturing plant at Visakhapatnam for the production of consumer electronic products.

Announcing this at a press conference here on Thursday, the Andhra Pradesh Chief Minister, Dr Y.S. Rajasekhara Reddy, said that the State Government had allotted 25 acres of land and granted sales tax exemption for a period of five years for the joint venture company, which would provide direct and indirect employment to 1,000 people.

Dr Reddy said that the project would be completed in two phases.

The first phase will be completed in the next three months, while the second phase will be operational by November 2005. Two more Chinese companies were also expected to set up units in the State, he said.

The electronics company proposes to manufacture colour televisions, DVD and VCD players, home theatre systems and home appliances.

The range of products to be produced includes air conditioners, refrigerators, washing machines, desktop and laptop computers, digital cameras and mobile phones.

TCL India's Vice President-Sales and Marketing, Mr A. Gopal Krishna, said that though it was not yet finalised, Naushua would most likely have a 76 per cent holding and TCL could hold the remaining 24 per cent stake in the manufacturing company.

Apart from transferring the know-how, TCL will be controlling the quality of the products.

Replying to a question, Mr Krishna said that TCL, which exited from the Indian market, had re-launched its products in the country.

Currently, it has 700 distributors. TCL, the world's largest producer of 22 million colour televisions a year, will also export the products manufactured at Visakhapatnam.

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