Panasonic opens manufacturing facility

Expanding its presence in the country, Panasonic India opened its first factory in Jhajjar, Haryana, which is expected to manufacture airconditioners, washing machines, welding and cutting machines for the domestic and oversees markets.
The construction of the manufacturing unit started in April 2011 and it has a capacity to produce over 10,00,000 sets of air conditioners, 400,000 sets of washing machines and 25,000 sets of welding and cutting machines annually. The manufacturing unit will be providing employment to approximately 3,500 staff by 2018.

The company’s Indian operations also aims to increase its revenue by over two-fold to Rs 25,000 crore by 2015.
At a time when Panasonic is reeling under impact of heavy losses globally, the five-year US $200 million investment in this facility reflects the company’s confidence in Indian operations as an engine of growth.
The factory is spread across 76 acres.
In a statement, the company said it will focus on making India “a manufacturing hub and will export products from India to other markets like the Middle East and Africa.” Panasonic added that the share of exports manufactured at Technopark would increase to 20 per cent by 2015 from the prevailing 5 percent.
The company’s claims of setting up a manufacturing unit in India is not without basis by 2018 that is also Panasonic’s hundredth year of existence.
India is expected to contribute about 5-8 per cent of Panasonic’s overseas sales. Indian market continues to be one of the top contributors in the Asia-Pacific region and that seems to have tipped the company’s hands in setting up a manufacturing unit here.
Panasonic Corporation reported a net loss of 698 billion yen, a six-fold increase over a net loss of 105.8 billion yen about a year ago in second quarter ended March 31. Sales in a number of product categories also declined. The factory inaugurated on Wednesday comes when governments, at the centre and various states have been trying to woo electronics multinationals to set up manufacturing plants.