Cata Appliances to set up manufacturing unit in Himachal Pradesh
The plant will be set up at an investment of Rs 21cr for manufacturing of kitchen appliances
| Announcing the company's entry into Chennai at a press conference, Navneet Bhatnagar, general manager - sales, said that the construction work for the proposed factory at Himachal Pradesh would begin in July and the company was hoping to start the production by December. The unit, which will manufacture products like chimneys, hobs and some models of extractors will cater to Indian market as well as South Asian market. |
| The company, which started its operations in North India in September 2004, plans to go aggressively in southern region, which accounts for about 40 per cent of the Rs 450 crore market for chimneys, built-in ovens and hobs. |
| It has already launched its products in Hyderbad and Bangalore and has made its entry into Chennai by appointing two distributors in the city. It has earmarked about Rs 25 lakh for advertising and promotional programmes in Chennai. |
| He said that the company would put a lot of efforts to promote its products in the city as Chennai customers were different from customers in Bangalore, Hyderabad and other places. Customers in Chennai are conservative and have different perception about new brands while customers in other cities would easily go for new brands, he added. |
| The company plans to tie up with modular kitchen suppliers to include its products in their offerings. It plans to garner about Rs 4 crore per year from Chennai and it would also look at expanding to tier II cities in the state. |
| The company recently introduced chimneys with electronic control systems, the first company to introduce it in the Indian market. It is also planning to launch chimneys with remote control systems. |
| Cata's product range includes straight and decorate chimneys, built-in ovens and hobs, vitroceramic & induction hobs, kitchen and bathroom exhaust fans and heating appliances. In chimneys alone, it has about 100 models. The price of electric chimneys range from Rs 5000 to Rs 2 lakh. Its products are available in about 700 outlets across the country. |
| N Harikrishna, area manager, Cata Appliances, said that Cata hobs had been designed with 'Flame Failure device' technology that will automatically cut off the gas supply as soon as the flame gets off due to any reason. |
| The company hopes to end this fiscal with a turnover of Rs 18 crore. Its sales volume is in the region of 30,000 - 40,000 units including the units supplied to OEMs. |