- Voltas Beko is a joint collaboration between Voltas and Beko home appliances
- This new factory will primarily cater to the needs of the Indian market
- Situated in Sanand, Gujarat, the facility will have a production capacity of 2.5 million home appliances
Voltbek Home Appliances Private Limited (Voltbek), a JV between India’s Voltas and Europe’s, Arçelik, has announced the opening of its first manufacturing facility in India. Spread over 60 acres in Sanand, an industrial hub near Ahmedabad, Gujarat, the factory will manufacture home appliances that include refrigerators and washing machines.
“Since its launch in 2018, Voltas Beko has established itself as one of the fastest growing consumer durables brands in the country and is expected to sell close to half a million units by the end of this fiscal year. The brand already has a significant footprint in the washing machine and refrigerator categories, in addition to being a leading player in dishwashers. With this new manufacturing facility in Sanand, we are confident of becoming a leading player in the home appliances segment in India by 2025,” stated Pradeep Bakshi, MD and CEO, Voltas Limited.
Backed by an investment of $180 million (Rs 1000+ crores), Voltbek’s Sanand factory is one of the first white goods appliances unit in the State of Gujarat that will create an OEM base for home appliances in the region.
Will cater to the needs of the Indian market
This manufacturing facility, as per Voltas, will leverage Arçelik’s global expertise in manufacturing and product development and Voltas’ strong brand presence, and country wide sales and distribution network. With this new facility the brand aims to increase its product portfolio and develop new innovative products specifically designed for Indian consumers. Voltas Beko will also produce direct cool refrigerators which are 80 per cent of the refrigerator market by volume, and the facility will reach its annual production capacity of 2.5 million units by 2025.
The factory will primarily cater to the needs of the Indian market, leveraging Voltas’ brand and distribution strength. However going forward, we might also explore export opportunities.
Speaking on this occasion, Noel Tata, Chairman, Voltas Limited said, “We continue to see huge growth opportunities for consumer durables in the Indian market — on its way to fast becoming a USD 5 trillion economy. The Voltas ‘Make in India’ programme envisages backing our market leadership ambitions with world class manufacturing facilities in India. Voltbek Home Appliances Private Limited, the partnership between Beko a global leader and innovator in the white goods space, and Voltas, the market leader in consumer air conditioning in India, will now have this world class manufacturing facility to support our growth ambitions.”
As per industry reports, the consumer durables market in India is slated to grow at ten to twelve per cent per annum. During the last 10 years, the Indian major domestic appliances market grew by nearly nine per cent, surpassing the overall three per cent growth of the global white goods market.
Hakan Bulgurlu, CEO, Arçelik said, “India offers a huge potential and we are excited to be a part of the country’s success story. Our goal is to become a leading player and achieve double digit market share in the Indian white goods market over the next decade. We believe that our new factory will help us deliver this ambitious goal and make a significant contribution to Indian economy. Beko is a leading global player in home appliances industry and with our global expertise and tailor-made innovations, we will continue to meet and exceed Indian customers’ expectations.”