Voltas Limited plans to set up a new facility with an investment of more than Rs 500 crore for manufacturing air conditioners and related cooling products in south India.
The facility at Tirupati will be spread over 65 acres and have a total capacity of more than one million units to start with.
Voltas aims to start rolling out the products from the second half of 2020. The company will put together an OEM base for home appliances and simultaneously create local employment opportunities in the region.
This manufacturing facility will be one of the first cooling appliances unit in Andhra Pradesh. The choice of Andhra Pradesh as the destination for the new manufacturing unit was due to the states ease of doing business and growing focus on Make in India.
The location provides dual benefits of superior market access and cost-effective connectivity via road and port. Voltas will cater to the south, west and east markets through this manufacturing facility.
Pradeep Bakshi, Managing Director and CEO, said: "We have always kept the customer at the core of all our decision making. This facility helps us in expanding our manufacturing capabilities while increasing our reach in the southern market."
Voltas is among the top 10 companies within the Tata group and is the undisputed market leader in room air conditioners in India with market share of more than 24 per cent market share.