Financial Daily from THE HINDU group of publications
Friday, Jun 09, 2006
Financial Daily from THE HINDU group of publications Friday, Jun 09, 2006 |
|
|
|
|
|
|
|
Corporate
-
Outlook Jabil Circuit to invest $100m in India K. Giriprakash
Future plans Company expects revenues from its Indian operations to exceed $1 billion within the next five years. One of Jabil's business model includes, the `business unit' manufacturing model which dedicates portions of a production facility to the customer.
Bangalore , June 8 The US-based electronic manufacturing services company Jabil Circuit plans to invest over $100 million to expand its Indian facilities and add nearly 10,000 employees within five years. The $10-billion company also plans to either acquire or set up a design engineering company, which is likely to be based out of Bangalore. Mr Bill Muir, President for Asia, Jabil Circuit, told Business Line that the company expects revenues from its Indian operations to exceed $1 billion within the next five years. "Revenues from our operations in India are currently around a few hundred million dollars. This should go up to $1 billion within five years," he said. This January, Jabil acquired Celetronix, which added 5,750 employees and 2.7 lakh sq ft of manufacturing space in Mumbai, Chennai and Pondicherry to the former's Indian operations. Jabil already owns a 1.76-lakh-sq-ft plant in Ranjangaon near Pune. The plants in Chennai and Mumbai manufacture make set-top boxes, power supply equipment and other electronic products. The Ranjangaon plant manufactures white goods, television sets, set-top boxes and medical products for a variety of OEMs. Some of the company's Jabil global clients include Nokia and IBM. One of Jabil's business model includes, the `business unit' manufacturing model which dedicates portions of a production facility to the customer. It also provides logistic as well as post sales services for OEMs. Mr Muir said that one-third of Jabil's revenues are from Asia now and added that it should exceed 40 per cent before 2010. He said nearly 90 per cent of the products made in India are exported; but with India about to experience a retail boom, domestic consumption is expected to increase substantially. Mr Muir said that there has been a dramatic shift towards moving production to low-cost countries during the last five years. "From one location a few years ago, there are now 11 manufacturing facilities in Asia alone," he said. Jabil has over 65,000 employees and 40 facilities worldwide.
More Stories on : Outlook | Electronics | Business Models
Article E-Mail :: Comment :: Syndication :: Printer Friendly Page
|
Stories in this Section |
|
The Hindu Group: Home | About Us | Copyright | Archives | Contacts | Subscription Group Sites: The Hindu | Business Line | Sportstar | Frontline | The Hindu eBooks | The Hindu Images | Home |
Copyright © 2006, The
Hindu Business Line. Republication or redissemination of the contents of
this screen are expressly prohibited without the written consent of
The Hindu Business Line
|