Beko-Arcelik, the joint venture of Tata’s Voltas and Turkish Koc group, will export entry-level products like direct cool refrigerators and semi-automatic washing machines
Home appliances brand, Voltas Beko has planned to export its products made in India. Tata group’s company, Voltas recently tied up with Arcelik, a Turkish firm and launched its joint venture – Voltbek (Voltas Beko) Home Appliances Pvt Ltd. The plan is to explore the overseas market with the brand’s entry-level products like direct cool refrigerators and semi-automatic washing machines.
The brand may also act as a production hub for Arcelik globally. The upcoming unit in Gujarat, which is set to function from 2019 will be the centre of starting the export business. Pradeep Bakshi, MD, CEO, Voltas, informed about the new label’s export plans to the African and Asian countries, either under Voltas Beko range or through any of the Arcelik group brands. He added that the company would kickstart producing direct cool and frost-free refrigerators and washing machines.
It has been reported that in India, Beko will be fixing the price range of its appliances considering its competitors, LG and Samsung. The two Korean companies cover half of the home appliances market in the country.
Voltas Beko’s goal
The Beko-Arcelik joint venture has carved out a 5-year plan to make investments worth Rs 1,140 crore in the marketing, sales and the Gujarat unit. Its target is to hit a revenue of Rs. 10000 crores by 2025 and a 10 per cent share in the appliances segment. Voltas also intends to double its retailers, which is around 15000 currently.
The brand recently launched about 100 new models of home appliances like refrigerators, washing machines, microwave ovens and dishwashers. According to reports, the consumer durables market in the country is projected at10-12% growth per annum. The white goods market value is Rs 43,000-crore. The market report suggests that the appliances market has grown by 9 per cent in the last 10 years.