Morbi-based Ajanta Manufacturing Limited (Oreva Group), which entered into LED lighting business in July this year, plans to invest about Rs 50 crore by the end of this year, to augment its production.
"We began manufacturing LED lights from July this year. We started with 4,000 pieces a day and plan to increase production to 10,000 units a day by the end of this year as demand for LED lights is improving," said Jaysukh Patel, managing director, Ajanta Manufacturing Limited (Oreva Group).
Oreva has already invested about Rs 25 crore for this expansion. The remaining investment would be done at a later stage and the fund will be managed by internal sources.
The company already manufactures CFL lights over the last 14 years at its plant in Morbi.
Regarding market share, Patel said, "Many other CFL producing companies have started manufacturing LED over the last six months across the country. Under present circumstances, every company is reducing their CFL market share to increase their LED lighting business."
Patel stated that demand for LED lights is not that much as it is costly compared to CFL and added that it will take at least two years to adopt to the new technology.
Oreva will gradually decrease CFL lighting production before closing the unit.
