Facing pressure due to rupee devaluation against the US dollar and poor market response, Japanese consumer durable maker Sharp is rationalising its portfolio that includes exiting some of its product offerings in the Indian market, according to a top company official.
"We are rationalising our portfolio. We are dropping some of our businesses that brought us losses. It is like microwave oven, lower end refrigerators, part of LED TVs and pressure cookers...," Sharp Business Systems (one of the three verticals of Sharp Corp) Managing Director Sunil Sinha told reporters here.
"Rupee devaluation was one of the major stress that made us to shift our strategy to the products that we manufacture in India," he said.
The company last year established its manufacturing facility at Pune with an investment of about Rs 200 crore to manufacture air-conditioners. Sinha said that with the facility the company may also look for manufacture refrigerators and LED television sets.
Asked on the company's strategy in 2014, he said it would be "to go deeper in the air-conditioner business. Last year we had only six models (in split airconditioners), now we have 17 models. Our other focus is on LED TVs. 32" LED TVs is a hit and now we have seven models."
He said the plant has an installed capacity of producing five lakh air-conditioners and last year it manufactured one lakh units.
"We will also look up for exports from the plant. May be to neighbouring countries like Bangladesh. It will happen in a year or two," he said to a query.
Sharp Business Systems was expected to complete 2013-14 financial year with revenues of Rs 1,000 crore, he said. Sharp Corporation in India has three verticals -- Sharp Business Systems, Sharp India Ltd and Sharp Software Development India.
