Consumer appliances and electronic goods maker Haier India is planning to set up a manufacturing plant at Ranjangaon near Pune with the total investment of Rs 490 crore. The plant will be fully operational by September 2017.
Haier India is expecting to close the year with over Rs 2,000 crore revenue as compared to Rs 1,700 crore in FY16. The company is looking to treble its revenue to Rs 6,500 crore by 2020 on the back on increased manufacturing and increased penetration of consumer goods in the country and plans to achieve top three position in the market.
"With the expansion of the manufacturing facility, Haier aims to gradually reduce the dependence on imports and increase exports from the country to aggressively contribute to the growth of the Indian economy. By 2020, we are looking at being a $1 billion company. Our turnover will be close to Rs 6,500 crore. We will also have our higher production capacity in place," said Eric Braganza, president, Haier India.
Currently, the company has a network of 700 direct dealers and plans to expand it by another 300 in the next two years.
"We have invested Rs 490 crore at our plant at Ranjangaon Pune to double capacity of refrigerator production and make new products too. We had to increase the production capacity due to the growth in the sales, therefore we had to build up additional manufacturing facility in India," he added.
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Earlier the company was only making refrigerators at the plant. Now it will also make washing machines, ACs, TV panels and water heaters.
“Globally, Haier Group has been a pioneer in home solutions and appliances technology and has enjoyed a great market share across the world. The growth demonstrated by Haier India in the recent few years has been phenomenal and we’re really optimistic about the company’s position in the country. The expansion of Haier’s manufacturing facility in Pune further strengthens the group’s focus on India,” said Song Yujun, managing director Haier India.
Haier India, a 100% subsidiary of China's Haier Group, began operations in 2004 and started manufacturing in India by acquiring a 40-acre plant at Ranjangoan in 2007.