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Havells India expects to complete its Rs 100-crore product diversification programme in May.
As part of the campaign, the company commissioned a domestic water pump manufacturing facility in December 2013.
Another unit for manufacturing water heaters is expected to be operational in May.
According to Y.K. Gupta, Associate Director, the units are estimated to cost Rs 50 crore each. Both are located at Havells’ Neemrana plant in Rajasthan.
The units will have a capacity to manufacture 3 lakh water heaters or geysers and 50,000 pumps annually.
The Rs 7,000-crore Delhi-based electrical goods and power distribution equipment maker now outsources its entire range of domestic appliances, including water heaters.
Havells entered the home appliance segment some three years back.
“We have leveraged our unutilised space in Neemrana for setting up the new units. We might start manufacturing mixer grinders, too, from the same plant, if there is demand,” Gupta told Business Line .
The company had, however, planned its home appliance unit to go on-stream in February.
But plans were delayed following a change in the product line requirements, sources said.
Apart from Neemrana, Havells manufacturing facilities are located in Haridwar (Uttarakhand), Baddi (Himachal Pradesh), Noida and Sahibabad (UP), Faridabad (Haryana), and Alwar (Rajasthan).
It has six overseas units across Europe, Latin America and Africa. Majority of the overseas business is generated by Sylvania, a brand that has been acquired by Havells in end-2007.
Over the past five years, it has invested more than Rs 1,100 crore to ramp up its existing facilities.
New Launches According to Gupta, the company is likely to launch household pumps (or domestic pumps) in the Eastern and North Eastern markets by the end of this month or early February.
Eastern States – West Bengal, Bihar, Jharkhand and Odisha – account for 20 per cent of its turnover.
Apart from the tier-I cities, the company would use its 1,200-odd strong distribution network to focus on rural markets, too.
The company decided to roll out pumps – in a phase-wise manner – from October last year, following a successful pilot in Uttar Pradesh.
On Wednesday, Havells stock closed at Rs 776.65, down 2.29 per cent, on the BSE.
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