Electrical goods maker Havells India today said it will double the production capacity of its Baddi plant in Himachal Pradesh to 10 lakh stock-keeping units (SKUs) per day in the next 6-9 months.
“Currently, Havells is manufacturing around five lakh SKUs a day and the capacity will be doubled to one million SKUs a day in the next 6-9 months,” the company said in a statement.
The facility manufactures switches and domestic switchgear for Havells and Crabtree brands, it added.
The company, however, did not share how much money it will invest to carry out this expansion exercise.
Commenting on the development, Havells India President Sunil Sikka said, “With the doubling of our production capacity, we are hopeful to meet the growing demand of consumers and also increase our penetration and market share in the next one year.”
The demand for switches in entry level segment is fast growing and there is huge potential in this segment, he added.
Besides, the company also rolled out a new category of switches from the Baddi plant under ‘REO’ brand, targeting mainly the Tier II & III cities and rural markets.
“Currently, Havells India is present in 518 out of the 667 cities of India with over one lakh population. Launch of REO will enable us to enter towns under 50,000 population and importantly mark our entry into rural markets. REO will become a growth driver going forward,” Sikka said.
The company has two manufacturing units in Baddi that are spread over an area of 10.5 acres each and employ over 900 people.