Haier plans to set up television unit in India

Chinese home appliances firm Haier has decided to set up a Rs 20 crore television manufacturing facility in India. The company, which claims to be the second largest consumer goods company, is conducting location study across the country to set up the unit.

Besides, it has also drawn plans to set up manufacturing units for air-conditioners and washing machines with an investment of Rs 80 crore in the next two years. At present, Haier has factories in 22 locations across the continent.

Pranay Dhabhai, director of Haier told Business Standard over telephone from Delhi: "At present, location study is going on to set up the television manufacturing factory. Different places have different benefits. If the reduction in excise is the attraction of Bhuj in Gujarat, in Uttaranchal the state government is extending all support to set up factory by exempting taxes.

"We have given the job to an agency to select location and the agency would submit the report within a couple of months," he added.

Meanwhile, Haier has introduced its mobile sets in the state. Earlier the company had launched its mobile sets in Delhi, Mumbai, Kolkata and Bangalore in February.

"Haier has launched seven GSM models in India and our target is to sell 5 lakh GSM mobile sets with a turnover of Rs 250 crore in one year," said Dhabhai. The price of newly launched mobile sets ranges from Rs 3,500 to Rs 15,000 per set.

When asked about manufacturing mobile phones in India, Dhabhai said, "At present, Haier does not have plans to manufacture mobile phones in India, but the company could consider setting up a production unit for mobile phones in the future."

When asked about code division multiple access (CDMA) sets, Dhabhai said that Haier CDMA mobile sets are available in the market. The company expects a total turnover of Rs 550 crore in the 2005-06 fiscal.