Elista, a manufacturer of electronics, home appliances, IT and mobile accessories brands, will be setting up a manufacturing plant in Kadapa in Andhra Pradesh with an investment of ₹250 crore.
“The plot of land to be allotted to us has already been identified in Kadapa and we are expecting the ground-breaking for the construction of the plant to take place in about two months from now,’‘ Saket Gaurav, Chairman and Managing Director of Elista and TeknoDome, a parent company for Elista, told businessline.
Elista was one of the companies which had entered into a memorandum of understanding with the Andhra Pradesh Government in its Global Investor Summit held in Visakhapatnam early this month.
“Apart from the industry-friendly policies and support from the State Government, the proximity to the Chennai port is also one of the factors that influenced our decision to set up our first manufacturing plant in India in AP’‘ Gaurav said.
This state-of-the-art plant will be spread over 1,32,300 square feet and will have a production capacity of 10,00,000 TVs & 10,00,000 LED monitors annually. Through this new facility, Elista will generate employment for 500 people.
Elista recently kickstarted its operations in UAE and Commonwealth of Independent States (CIS) and is mulling an entry into other key markets in the Middle East and Africa (MEA) region by next year. The company expects to clock revenue of ₹1,500 crore by 2025 from both Indian and international operations.
Huge market potential
On the market potential, he said there was ‘huge’ potential. ‘The Indian appliances and consumer electronics market was valued at ₹5,363.70 billion in 2021. It is expected to reach ₹12,898.89 billion by 2027 growing at a compound annual growth rate (CAGR) of about 15.77 percent during the 2022-2027,’‘ he said.
According to the Department for Promotion of Industry and Internal Trade, India’s exports of electronic goods totalled $11.1 billion between April 2020 and March 2021 (FY21), he added.
The company expects the facility to commence production by the first quarter of the calendar year 2024. “The facility will boost local manufacturing and engineering of innovative products and solutions while also serving global market demands,’‘ Gaurav added.