 "Rishi Tandon, LG")
While it aims to invest about Rs 100 crore over the next five years, the company has signed a memorandum of understanding (MoU) with Gujarat government for an initial investment of Rs 15 crore.
"We have signed an MoU with the Gujarat government for setting up an LED screen manufacturing plant in Rajkot with an initial investment of Rs 15 crore. The new production facility will be commissioned by end of June this year, after which we will pump more funds as per requirements. In next five years, the company aim to invest about Rs 100 crore," said Jitendra Joshi, managing director of Global Communication.
The company currently imports large-sized LED screens for supply to hotels, event management companies, malls, cinema halls and government agencies.
While the initial capacity at the Rajkot plant is being pegged at 300-500 square metres a day, it will be gradually expanded based on domestic demand, Joshi said. As of now, the company has two production units in China which have a combined daily capacity of about 1,000 square metres.
"To produce large size LED screen at Rajkot plant, we will have to import machineries from China which we are likely to do by March this year. However, we will continue our Chinese operations for next few years," Joshi added.
The new plant currently generates direct employment for 50-60 people even as the company looks to add more manpower once commissioned. Talking about investment plans, Joshi that the project will be funded through the company's internal accruals. "If required, we will go to banks in future," Joshi added.
