The facility, once built, will have the capability to manufacture 25 lakh LED TVs and six lakh ACs annually
Gujarat-headquartered ABAJ Group has collaborated with QThree ventures to develop a electronics manufacturing facility in its home state. Announcing an investment of Rs 1,000 crores, the companies pan to develop this facility in Mahesana, 35 km from Ahmedabad.
“ABAJ-QThree Techpark will be equipped to manufacture LED televisions for any brand worldwide,” said, Nirav Patel, founder & CEO, ABAJ Group.
The facility will be able to emply approximately 4500 individuals, and will also house a R&D center. Vijay Rupani, CM, Gujarat, laid the foundation, through a virtual ceremony.
Contract manufacturing on the cards
The facility, once developed, will be used to contract manufacture LED TVs and ACs for worldwide brands. Its capability will be to manufacture 25 lakh LED TVs and six lakh ACs annually. The facility will also manufacture for brands falling under the umbrella of ABAJ and QThree ventures.
“By partnering with ABAJ Group to create a world-class facility, our endeavour is to bring the best of global expertise and manufacturing capabilities, complemented with our network across India, to present consumers with affordably priced consumer electronics goods in India,” noted Jubin Peter, Founder and Chairman, QThree Ventures.
The company is looking to touch revenues of Rs 1,000 crore by the end of 2022. Apart from LED TVs and ACs, it also aims to foray into refrigerators and washing machines’ categories.
“Chinese goods are not only affecting the domestic business and Indian market but also affecting the export market of our country. Indian goods are being replaced by ‘Made in China’ label both in India as well as abroad. Made in China label is slowly capturing every segment of Indian market,” Nirav Patel had said in an Interview with SME Times in 2018.
Shipments of TVs, as per CounterPoint Research, in India grew 15 per cent annually to reach the highest-ever 15 million units in 2019, according to the latest research from Counterpoint’s TV Tracker service. This growth was mainly driven by budget smart TVs with 32-inch TVs the leading segment and penetrating sub-US$150 price bands.