Blue star to invest Rs 215 cr in 3-4 years

Air-conditioner maker Blue Star plans to invest Rs 215 crore in the next 3-4 years to increase its overall production capacity to a million units per year.
The company is in the process of setting up two major facilities, which would redesign and augment its manufacturing footprint, Blue Star said in a statement.
The new units at Samba in Jammu and Sri city in Andhra Pradesh will primarily manufacture room ACs, deep freezers and water coolers.
Meanwhile, the AC maker has closed its two units at Thane and Bharuch.
"Blue Star has embarked on a manufacturing footprint programme with the help of KPMG. Consequent to that exercise, the company has closed down its Thane and Bharuch plants," Blue Star said.

Blue Star is operating five plants at Wada, Dadra, Ahmedabad in Gujarat, and Himachal Pradesh.

"The plant at Sri City is proposed to be built on an area of around 20 acres, while the Samba factory is to be constructed on over 24 acres," it said.
The Samba facility would have excise exemption for 10 years, while the Andhra Pradesh unit would cater to the Southern markets, which would lead to considerable savings in logistics cost.
"It would also de-risk the products business due to the spread of its manufacturing footprints in two different states," the company added.