Owned by the Tata group, the home appliance manufacturer is considering more than Rs 1,300 crore investments towards manufacturing. The investment will support the company’s plan to make components like compressors besides capacity expansion. Voltas will also start making newer home appliances, Managing Director and CEO Pradeep Bakshi told ET.
Bakshi was quoted in the report as saying, “The compressor project is still on, and we are looking at other partnerships.” He added, “The company is on an investment spree on new factories apart from backward integration.”
Voltas compressor project
Voltas is planning to invest more than Rs 350 crore towards making compressors. Apart from this, the company is also investing Rs 500 crore immediately in the Chennai plant to make ACs. Furthermore, the company will invest another Rs 500 crore in the plant in the next 4-5 years, the ET report stated.
Bakshi told The Economic Times that Voltas is working towards becoming a full-fledged home appliance company, shifting away from its identity of just AC manufacturer. For example, the company is venturing into small domestic appliances like water heaters and kitchen devices like hob, mixer grinders, and juicers.
Voltas has previously received benefits of production-linked incentives (PLI) for compressors. However, the company is likely to miss the benefits in the first 1-2 years because of the delay in the original compressor plant, the ET report added.
Voltas has entered newer categories like Washing Machines and has established itself as one of the major manufacturers, Bakshi told ET.
