Companies

Godrej Appliances to invest ₹700 crore for capacity expansion

Our Bureau Mumbai | Updated on November 25, 2019 Published on November 25, 2019

Godrej Appliances said on Monday that it will be investing Rs 700 crore by 2022, in a bid to increase its annual appliance production capacity by 19 lakh units to 65 lakh units per annum. This investment takes the tally of Godrej Appliances’ investment in capacity and technology expansion to Rs 1100 crore over a period of six years.

The focus is not only to add capacity, but also to introduce newer technologies and carry out backward integration, the company said in a release.

“This investment broadens Godrej Appliances’ capability and reflects our commitment to providing customers with exceptional products, while attesting our alignment towards ‘Make in India’. Through this expansion, we aim to take brand Godrej to even greater heights utilizing our strength of manufacturing expertise. The proposed expansion once complete will allow us to meet the increasing demand for premium products from Indian customers better,” said Kamal Nandi, Business Head & EVP, Godrej Appliances.

Godrej Appliances also plans to double the current capacity for both fully automatic top load washing machines and semi-automatic washing machines, at its Shirwal and Mohali plant respectively. The brand also plans to introduce a new product line for fully automatic front load washing machines with 4 lakh annual capacity.

For the refrigerator category, the brand intends to augment the production capacity of both its premium range and mass range by 33 per cent.

The investment is also directed towards manufacturing of power efficient chest freezers and 30 lakh units of compressors utilizing newer technology in the product and processes. Part of the outlay will be for backward integration of air conditioners at the Shirwal factory.

This capacity enhancement plan for both its manufacturing units is also in line with Godrej Appliances’ ongoing premiumisation focus, it said.

Published on November 25, 2019
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