Samsung to invest Rs. 500 crore to bolster mobile production in India: Report
Samsung, the Indian mobile market leader, reportedly plans to invest Rs. 500 crore in India to ramp up its mobile production.
Samsung, the South Korean electronics giant, is currently the leader in the Indian smartphone market, selling more than 20 lakh smartphones in the first quarter of 2013, which gave it a 32.7 percent share in the period, according to the latest report by market research firm IDC. According to reports, the company is planning to invest Rs. 500 crore to increase its mobile production facilities in India, quoting a company source.
The source stated that “Samsung is working to invest Rs 500 crore in its mobile production facility in India. It had approached Government in this regard to take benefit of policy announcements and other incentives. The investment proposals have been cleared at Department of Electronics and IT (DEITY) level.”
When contacted by The Hindu, a Samsung India spokesperson said, “We are looking at strengthening our manufacturing presence in the country, to fulfil our growing needs in the market. However we are not able to provide further details at this stage.”
Samsung has approached the Indian government for the best governmental policies and incentives for this investment. Samsung had last invested around 315 crore in September 2011 to increase its mobile production capacity to 3.6 crore per annum from 1.2 crore per annum.
Samsung stated in April that it will manufacture its latest Samsung Galaxy S4 mobile in its Noida facility though the company has not confirmed the amount of investment it will make. The Noida facility currently manufactures approx 3.5 to 4 crore phones annually, including high-end smartphones like the Samsung Galaxy S3.
India, after the U.S. and China, is the third largest mobile smartphone market in the world, giving smartphone vendors like Samsung a huge potential to increase their business.
Source: The Hindu