Carrier Midea evaluates home appliances launch in two years

Consumer goods maker Carrier Midea India is evaluating launch of home appliances range such as washing machines and refrigerators in the domestic market within the next two years.
"We are evaluating launch of home appliances ... We want to come out with whole basket of home appliances products. We have increased our distribution presence which will give us good base when we launch our home appliances," Carrier Midea India Managing Director Krishna Sachdev told PTI.
Sachdev refused to share exact details but said launch of home appliances will happen within two years time.
The company, a 40:60 JV between US-based Carrier Corporation and China's home appliances firm G D Midea, sells water dispensers and microwave in India apart from the its core presence in the air conditioners.

"Response to our soft launch of microwaves and water dispensers has given us confidence to go ahead and launch more products in the home appliances range."
When asked if the company is taking too long to foray in the Indian market with its home appliances products, Sachdev said it was done to ensure that the company's products are among the top in the market.

"When we get into a category we want to be in the top three (position) in five years. That's our philosophy. We are chalking out strategy and have done consumer research to plan properly before launching products in the Indian market," he said.

The Indian home appliances market is estimated to touch Rs 24,000 crore this year at a growth of 10 per cent from 2013. LG, Samsung, Whirlpool and Haier are major players in the segment.
Carrier Midea India, which started its operation in 2012, is also looking at achieving break even in the current calender year and aiming to clock sales turnover of Rs 1,000 crore.
"We were targeting Rs 1,000 crore turnover last year but we couldn't meet our target due to slowdown in the economy. We hope to cross Rs 1,000 crore sales this year. We will also achieve break-even this year," he said adding that the company has also increased its distribution to 1,900 outlets this year compared with 1,100 outlets earlier.

At present, Carrier Midea manufactures AC in India at its manufacturing plant at Bawal, Haryana with a production capacity of seven lakh units per annum. It imports rest of its products.
When asked if the company planned to invest more in India, he said: "Our current capacity of this plant is enough for the next two to three years. We would look at additional investments only after that.