Fast moving electrical goods company Havells India on Thursday said it has stepped up indigenous manufacturing with the addition of a greenfield washing machine unit under the Lloyd brand at Ghiloth in Rajasthan.
The new unit with an annual production capacity of 3 lakh units is located in the same place where the company’s AC plant is housed.
Havells said the Lloyd’s brand will now have 20 models of washing machines and 50 SKUs of ACs in 2022.
“Today whatever Havells sells, we manufacture 95 per cent of that in-house. The usual perception is that many of the electrical and electronic products are imported from across the world, including China.
“But Havells has never resorted to those practices. When we acquired Lloyd, everything was imported from China. With this launch of the factory, last year for ACs and now for washing machines, I can say that Lloyd has also converted itself to a completely self reliant manufacturer and brand where we do not have to depend on any outsourced manufacturing from China,” said Anil Rai Gupta, chairman and managing director, Havells India.
Gupta said the company has incurred a capital expenditure of Rs 500 crore in the plant which will help it to make air-conditioners in India and export to over 25 countries.
Havells said the plant has advanced robotic machines, automated guided vehicles and a fully integrated materials management system.
“Their industry 4.0 standard manufacturing facility, with real time monitoring system showcases Havells’ ability to manufacture world class products at globally competitive prices,” Havells said.
“The high automation and management systems at Ghiloth AC plant, will help us further optimise our cost structure, make more efficient products and cement our foot-hold in the market,” said Shashi Arora, CEO, Lloyd.
Havells have 13 manufacturing units in India located at Haridwar, Baddi, Sahibabad, Faridabad, Alwar, Ghiloth and Neemrana.
Price rise
Amid increasing raw material costs, Gupta said that there is a probability of an increase in product costs for the consumers.
He said that during Covid period, the companies has improved their cost efficiency. While absorbing input costs in some areas, a part has been passed on to the buyers. But the increases that were not done in the earlier months, may be passed on in the next couple of months.
