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Danish heating, ventilation and air conditioning (HVAC) major Danfoss is targeting a turnover of Rs 2,000 crore by 2020 in India.
The company also plans to source components worth Rs 1,000 crore out of India, said a top official of the Indian subsidiary.
"The market prospects are good. Danfoss India is planning for Rs 2,000 crore turnover by 2020. Last year we closed our books with a turnover of Rs 1,000 crore," Danfoss India's President Ravichandran Purushothaman told IANS on Tuesday.
"Till now we are logging over 25 per cent growth. After the implementation of GST (Goods and Services Tax) the growth rate on an annualised basis may be 18-20 per cent in 2017," Purushothaman added.
Speaking about sourcing of components by the parent group, he said Danfoss global now sources Rs 400 crore worth of components out of India and this will be increased to Rs 1,000 crore in three years' time.
He said Danfoss sources castings, mechanical items for its global markets like France, Europe, China, Poland and others.
Purushothaman said the component sourcing is in addition to what Danfoss India is exporting out of its plant near here that is worth around Rs 120 crore.
He said Danfoss India has added more production lines at its plant near here and a lot of production has been shifted to India out of Poland and Denmark.
Speaking of the headcount increase this year from the current 930 employees Purushothaman said Danfoss India will add 10 per cent more to its rolls. Fifty per cent will be for research and development and the other half for the supply chain.
He said the parent Danfoss is also looking at acquisitions in India.
Queried about the legal status of acquisition of heat exchanger company Sondex Holdings in India, Purushothaman said all legal clearances have been obtained for merging the acquired company with Danfoss India.
"We will not be shifting the production heat exchangers to the facility here. Sondex has a good facility in Gujarat," Purushothaman said.
In 2016, Danfoss acquired two companies -- the DKK 1 billion revenue Sondex Holdings, Denmark, and the $100 million revenue US-based White Drive Products.
Recently Danfoss acquired a small Italian software company Prosa as a part of its digital transformation process.
"The acquisitions by Danfoss global are all in technology space. Those technologies can be used in the products made here. Energy monitoring is an emerging area across the world," Purushothaman said.
He said once the smart cities programme starts then energy monitoring will gain importance. Danfoss recently acquired a sizeable stake in Finnish company Leanheat, provider of analytics based energy optimisation services for multi-family houses and district heating systems.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)