The Chinese consumer electronics and home appliances brand Haier is making a second entry into the Indian market after a gap of two years. Earlier, Haier, the fifth largest electrical appliances company in the world, had been marketing its products in India through a Delhi-based distributor Anirudh Appliances. After the alliance fell through, the brand this time round has set up a 100 per cent subsidiary, after being cleared by the FIPB for an initial investment of Rs 30 crore
Subsequent investments will be “˜need based’ but are likely to be much larger, with the company’s long-term plans including setting up a manufacturing unit eventually and making it a hub for supplying to markets in the subcontinent, South Africa and the Middle-East. “We already have joint ventures in Pakistan and Bangladesh so supplying from an Indian base will be a cost effective measure,” says Haier India director Pranay Dhabhai. It also plans to set up an R&D centre in India.
In the first phase, the brand has been launched in the northern markets through multi-brand dealers. The range will include washing machines, refrigerators, colour televisions, microwave ovens and air conditioners. Regarding sourcing of products, Haier president and CEO TK Banerjee, said, “we have entered strategic tie-ups with BPL and Voltas for sourcing products at the lower-end and are also in talks with Whirlpool, Godrej and others for similar tie-ups. The premium end products like the side by side refrigerators and bottom mounted refrigerators will all be imported from factories in China, Malaysia or Thailand.”
In India, Haier will try to target niche segments. For example, it has a 2.3 kg washing machine, targeted for small washing jobs or specially for women, priced at Rs 6,990, and a bottom mounted refrigerator priced at Rs 42,900, which are not present in any other brand.
From financialexpress.com
