New Delhi, April 25
IN a bid to increase its market share in the domestic consumer durables sector, Hyundai Electronics India is planning to set up a manufacturing facility in the country at an investment of Rs 100 crore.
"The plant would be coming up in Uttaranchal by the end of the current year and will manufacture CTVs, air-conditioners and DVD players. We will also be setting up an R&D centre at the plant. At the same time, we plan to set up an R&D centre in China in joint collaboration with Hyundai Electronics, Korea," said Mr Pavan Bhargava, COO, Hyundai Electronics India.
The capacity at the proposed plant would be 1.2 million units for CTVs, 0.3 million for DVD players, and 0.2 million units for air conditioners.
The company also plans to commence manufacturing microwave ovens at a later stage.
Further, the proposed plant would be used for exports as well, especially to countries in West Asia, South Africa, and the SAARC region.
Hyundai Electronics currently uses Videocon's facilities for manufacturing in India.
Mr Venugopal Dhoot, promoter of Videocon, has more than 70 per cent stake in Hyundai Electronics India.
Meanwhile, after clocking revenues of Rs 100 crore since its launch five months back, Hyundai Electronics is planning to expand its product portfolio this year and is targeting a turnover of Rs 600 crore in the current fiscal.
"Apart from boosting our model line-up, we will be introducing frost-free refrigerators in the current year. We don't plan to manufacture refrigerators here but would be importing them from Thailand. It would be cost-effective to import them from Thailand due to the Indo-Thai Free Trade Agreement," Mr Bhargava said.
Hyundai Electronics caters to the premium end of the market; its products are priced about 8-10 per cent higher than competitors.