Panasonic to Invest Rs. 300 Cr. for Expansion of Sri City Facility in Andhra
Panasonic Life Solutions India will be investing Rs. 300 crore towards the capacity expansion of its wiring devices manufacturing facility in Sri City, Andhra Pradesh.
Panasonic Adds New Product Types with Capacity Expansion at Its Sri City Plant
Panasonic’s Sri City plant currently manufactures different types of wiring devices such as switches and sockets in its Roma, Penta Modular, and Roma Urban ranges. After expansion, the facility will also manufacture Switchgear, Wires and Indoor Air Quality (IAQ) products over a period.
With the addition of these product types, Panasonic is targeting to increase its annual manufacturing capacity of Sri City plant from 120 million per year to 300 million pieces per year by 2026.
Speaking about this investment, Mr. Rajesh Nandwani, Director – Power, Panasonic Life Solutions India, said, “We have already invested Rs 300 crore to set up the facility to expand our business in the south Indian market. We will be investing an additional Rs 300 crore to increase the capacity such that it also caters for the overseas markets in Africa, the Middle East, and South Asia“.
Panasonic to Augment Manufacturing Capacity in India by 2030
Panasonic currently manufactures 620 million wiring devices annually through its seven facilities across India in Daman, Haridwar, and Sri City. The company recorded sales of Rs. 5180 Crore in the financial year ending 31st March 2023. Panasonic plans to increase its current manufacturing capacity to 1000 million by 2030.
Panasonic Expects Revenue to Triple by 2030, Volume of Exports to Rise
Commenting on this development, Mr. Kato Yoshiyuki, Managing Director of Panasonic Life Solutions India said that the company’s revenue stood at Rs. 5,100 crore for the 2022-23 financial year, and Panasonic expects this figure to grow threefold by 2030.
Speaking about the growth in Panasonic’s exports Mr. Rajesh Nandwani said that the company currently exports 2% of its products from India to Nigeria, Oman, Kenya, and SAARC countries and that the company plans to grow this figure to 10% in seven years.
Panasonic Targets Increased Market Share by Bolstering Domestic Distribution
Mr. Nandwani said that the company seeks to increase its market share and that Panasonic will be launching product offerings considering local market conditions to bolster its distribution strength.
He explained that three-fourths of the company’s revenue comes from the power sector while the rest can be attributed to the lighting and solar sectors.
Panasonic stated that one-third of its top line flows in from the company’s Government business.
Mr. Kato Yoshiyuki, further said, “Electric devices will remain at the core of our business, and distribution and product solutions will enable us to become a leading electric infrastructure solutions provider, contributing significantly to India’s growth”.
About Panasonic Life Solutions India: Panasonic Life Solutions India Pvt. Ltd. is a wholly-owned subsidiary of Panasonic Corporation, a Japanese multinational. It was earlier called Anchor Electricals Private Limited, and from 1st April 2019, the legal identity changed to Panasonic Life Solutions. The corporate identity also changed from ‘Anchor by Panasonic’ to ‘Panasonic’.
