China handset maker Gionee to Make in India in 3 years
5 April 2015 11:25 PM GMT
The company has roped in consultancy firm Ernst & Young to advise on partners and potential locations across the country. “We have already seen two locations. Our head of manufacturing, who takes the final call, is visiting in three weeks. After that, we will be in a better position to talk about the location,” informed Gionee India Chief Executive Officer and Managing Director Arvind Vohra.
The company will invest Rs 300 crore in the next three years for setting up manufacturing base in the country, which will cater to the domestic market as well as to markets in SAARC and Nigeria, he added. Gionee has also earmarked a budget of Rs 225 crore for marketing and advertising, up from Rs 132 crore last year.
The company will begin with manufacturing entry-level devices, Vohra said. Gionee, which claims to have sold 4 million devices in India last year, is confident of sales doubling this year. India is already the second biggest market for the Chinese firm. “Last year, we sold 4 million devices in India and 28 million globally. That is one-seventh of the total sales. This year, we expect the sales to touch 8 million,” he said.
Gionee on Saturday launched its ‘ELife S7’ in the Indian market, priced at Rs 24,999. The phone supports dual SIM, multi-band and multi-mode 4G systems, features 5.2” Super AMOLED screen, 1.7GHz octacore processor, 2GB RAM, 13 MP rear and 8MP front camera, 16GB built-in memory and 2,700mAh battery.
Other handset makers like our homegrown Karbonn and China’s Xiaomi too are looking at setting up manufacturing units in India as the government tries to woo these firms with sops for local manufacturing.
Increasing demand for affordable smartphones, especially in emerging markets like India and China, is expected to push up shipment of devices in the Asia Pacific (Apac) region by 3.2 per cent to 1.19 billion units in 2015, research firm Gartner forecast last week. While shipments — including PCs, tablets and mobile phones — stood at 1.15 billion in 2014, the volume is forecast to grow to 1.19 billion in 2015 and further to 1.28 billion by 2017, the research firm said in a statement. The increase in device shipments is mainly driven by 4.1 per cent growth in the mobile phone segment.
Make in India a step in right direction: Nooyi
Prime Minister Narendra Modi’s call for ‘Make in India’ would help boost manufacturing and employment in the country, PepsiCo Chairman and CEO Indra Nooyi said on Saturday.
“The PM is absolutely right in saying Make in India because ultimately we are trying to build a base in manufacturing and boost employment and that is very good,” Nooyi told reporters on the sidelines of IIM Calcutta convocation here on Saturday.
About PepsiCo’s plans for India, she said, “Almost everything we sell here is made in India. On Friday, PepsiCo had inaugurated the country’s largest beverage plant in Andhra Pradesh.
The company will invest Rs 300 crore in the next three years for setting up manufacturing base in the country, which will cater to the domestic market as well as to markets in SAARC and Nigeria, he added. Gionee has also earmarked a budget of Rs 225 crore for marketing and advertising, up from Rs 132 crore last year.
The company will begin with manufacturing entry-level devices, Vohra said. Gionee, which claims to have sold 4 million devices in India last year, is confident of sales doubling this year. India is already the second biggest market for the Chinese firm. “Last year, we sold 4 million devices in India and 28 million globally. That is one-seventh of the total sales. This year, we expect the sales to touch 8 million,” he said.
Gionee on Saturday launched its ‘ELife S7’ in the Indian market, priced at Rs 24,999. The phone supports dual SIM, multi-band and multi-mode 4G systems, features 5.2” Super AMOLED screen, 1.7GHz octacore processor, 2GB RAM, 13 MP rear and 8MP front camera, 16GB built-in memory and 2,700mAh battery.
Other handset makers like our homegrown Karbonn and China’s Xiaomi too are looking at setting up manufacturing units in India as the government tries to woo these firms with sops for local manufacturing.
Increasing demand for affordable smartphones, especially in emerging markets like India and China, is expected to push up shipment of devices in the Asia Pacific (Apac) region by 3.2 per cent to 1.19 billion units in 2015, research firm Gartner forecast last week. While shipments — including PCs, tablets and mobile phones — stood at 1.15 billion in 2014, the volume is forecast to grow to 1.19 billion in 2015 and further to 1.28 billion by 2017, the research firm said in a statement. The increase in device shipments is mainly driven by 4.1 per cent growth in the mobile phone segment.
Make in India a step in right direction: Nooyi
Prime Minister Narendra Modi’s call for ‘Make in India’ would help boost manufacturing and employment in the country, PepsiCo Chairman and CEO Indra Nooyi said on Saturday.
“The PM is absolutely right in saying Make in India because ultimately we are trying to build a base in manufacturing and boost employment and that is very good,” Nooyi told reporters on the sidelines of IIM Calcutta convocation here on Saturday.
About PepsiCo’s plans for India, she said, “Almost everything we sell here is made in India. On Friday, PepsiCo had inaugurated the country’s largest beverage plant in Andhra Pradesh.
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