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Aequs Infra, a part of the diversified contract manufacturing company Aequs, has invested close to ₹1,800 crore in building its third cluster located in Hubballi. The 400-acre site is dedicated to consumer durable manufacturing companies and will be fully operational by the fourth quarter of FY23, states Vikram Annappa, the chief operating officer (COO).
“The infrastructure is under construction and the first manufacturing unit that is to come up at the zone has started industrialisation and trail production,” said Annappa.
Market could double by 2025
The company says that it sees a huge demand in the consumer durables industry and estimates that the consumer durable market will reach $22 billion by 2025, from $11 billion in 2019. As potential clients for its latest cluster, Aequs Infra is looking to establish manufacturing units for consumer durables giants such as LG, Voltas, Godrej Appliances and others. “We expect to establish facilities for about 35-40 companies on the campus,” Annappa added.
“The idea behind establishing the cluster is to provide a one-stop solution to the companies. We bring in the software side of running the business, manpower and compliance services. That’s the beauty of our 360 degrees entire requirement, to start and operate, that’s been covered in our campuses,” stated Annappa.
Strategic location
According to the COO, Hubballi has efficient transport connectivity. “The city is strategically located and is one of the most well-connected destinations,” he explained, adding, “as a result, it can efficiently serve the country’s central, western and southern regions. In addition, the city is well-known for its industries and serves as a people’s trading centre.”
The company intends to add 13 to 14 million square feet of industrial space over the next four to five years. “We added approximately 1,00,000 square feet of space this year,” said Annappa. It currently has nearly 3,00,000 square feet of industrial space. The Hubballi cluster is expected to generate about 20,000 direct jobs and about 60,000 indirect job opportunities.
Aequs Infra has two more clusters in addition to the consumer durable cluster – Belagavi Aerospace Cluster and Koppal Toy Cluster.
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