Imaging company Nikon India, a wholly-owned subsidiary of Nikon Corporation of Japan, is likely to hike product prices if the rupee continues its slide against the dollar.
With its products being imported from its three manufacturing units at Thailand, Japan and China, the company has been under margin pressure.
Margin pressure
“Margin (pressure) is a serious issue. We are hoping that the government will take some action. If the depreciation of the rupee continues then we will be forced to hike product prices,” Mr Hiroshi Takashina, Managing Director, Nikon India, told reporters at the launch of D3200 digital SLR here on Wednesday.
He did not specify the time frame and quantum of the hike. “It's too early to comment now,” he said.
Nikon, currently, has not hiked product prices in the compact camera segments. It has, however, increased product prices between 7 to 8 per cent for three high-end professional models.
Market leader
The company is the market leader in the DSLR segment and competes with Sony and Canon in the compact camera segment. The size of the Indian camera market was 1.7 lakh units last year and it is expected to touch 2.5 lakh units this fiscal.
According to Mr Takashina, Nikon was expecting a turnover of Rs 1,200 crore (Rs 750 crore last fiscal) during this fiscal from its India operations. Nikon would shore up its promotional and marketing activities as well as ramp up its distribution channel in the country.