Tata group firm Voltas and its Turkish JV partner Arcelik would invest Rs 1,000 crore in the next four-five years to set up a home appliances plant in Gujarat, and in marketing activities, a top company official said.
The company is looking to corner around 10 per cent of the market share and to generate a revenue of Rs 10,000 crore in the next seven-eight years in the home appliances segment, which is quite competitive now.
Voltas Beko has a range of home appliances, which include refrigerators, washing machines, microwaves, and dishwashers. Besides, the company plans to add over 100 SKUs over the next three months.
"We have already bought a land parcel of 60 acre in Sanand near Ahmedabad, where we are going to manufacture. We have already started civil works at factory and the products would be coming out by the second quarter of the next year," Bakshi further added.
"To begin with, in the next two years, we would add 10,000 additional outlets," he said adding Voltas would also "add 500 more exclusive brand outlets in the next two years and taking it to over 1,000 in next three-four years".
Presently, Voltas has around 100 exclusive brand outlets and around 70 per cent of its dealers selling its range of cooling products also deal in other product categories and this network would be utilised by the Tata Enterprise.
According to Bakshi, its range of home appliances would be "Value for money" and would cater all kind of segments in metro and tier II & III cities.
On being asked about the sales projections, Bakshi said, "We are looking at a revenue of Rs 10,000 crore by 2025 and have around 10 per cent market share in the segment."
Besides India, the JV has plans to scout for other geographies as it is also looking to tap the export opportunities.
"Our initial focus would be India," said Bulgurlu adding that in the later stage, they would also explore neighbouring Asian and African markets.
As per the industry reports, the consumer durables market in India is slated to grow at 1012 per cent per annum.
Currently, the white goods market is valued at Rs 43,000-crore (excluding AC).
In the last 10 years, the Indian major domestic appliances market grew by a CAGR of 9 percent.
(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)