Consumer goods, computers and heavy electrical equipment maker Toshiba India Pvt. Ltd, the local arm of Japan’s Toshiba Corp., which launched its liquid crystal display (LCD) television business in India this April, is targeting a 5% share of the LCD television market by next year, its managing director said.
Toshiba India will be and LG Electronics India Pvt. Ltd, which together dominate the Indian market with a market share of over 60%.
The LCD television market in India stood at 150,000 units in 2006 and is expected to more than double this year. “This market is growing really fast at over 100% and is expected to touch 350,000 units in 2007,” said Suresh Khanna, general secretary of trade body Consumer Electronics and Appliances Manufacturers Association.
The focus on LCD television, as also refrigerators and washing machines, is part of Toshiba’s push into India, a market in which it makes revenues of some $350 million (Rs1,435 crore) today, mostly from heavy engineering equipment.
“India, at around 1% (of parent Toshiba Corp.’s non-Japan business) is still a very small business for us as of now. However, this market is growing fast and infrastructure necessity is a huge opportunity for us,” said Yuzo Kato, managing director of Toshiba India. “Our target is to reach $1 billion by 2015 in India.”
The Japanese parent makes 49% of its $70 billion revenues from markets outside Japan.
The firm does not have a manufacturing unit in India for its personal equipment business and imports refrigerators and washing machines from its Thailand manufacturing facility, LCD television sets from Indonesia and personal computers from China, which it sells through its various distributors. It has no plans yet to start manufacturing in India for its consumer electronics business, but is looking for a domestic joint venture partner for making small and large turbines and generators to produce thermal power in India. Toshiba has two thermal power manufacturing plants in Japan and China. The Indian plant will be its third globally.