Mumbai: Onida (Mirc Electronics Ltd.), the leading consumer durables company in India has started to manufacture televisions for Reliance Retail. With the demand for third-party TV manufacturing driven by the government’s ‘Make in India’ initiative and with the available manufacturing capacity at the factories, the company is bullish on its growth trajectory.
The company has taken strategic decision to start non-captive manufacturing during the current year and had started manufacturing televisions for Reliance Retail from July 2018.
Onida has recently started its LED panel manufacturing plant and the company is currently manufacturing 80 per cent of television LED panels required for the captive purpose to reduce cost and have an edge over other brands.
Upbeat on the developments taking place in the company, Mr. Vijay Mansukhani, MD, said, “We are delighted to work with Reliance Retail. We need not incur any further capex as the current manufacturing facilities can take care of sizable non-captive business. Neither have we needed working capital.”
“Considering the low penetration levels across all consumer durables, there is enough market for existing and new players. The demographics of India supports a good amount of demand and many international players would like to tap the Indian market. Many players are approaching us because of our strengths in R&D, quality, distribution, and strong logistics and after-sales services”
He further added that “Unlike other players, we can support new players across the value chain”.