AET Displays to set up manufacturing unit in India; Middle East & US eyed to boost exports, says CEO
- AET Displays has completed 50 per cent of its planned ₹200 crore investment in India’s LED screen market, with CEO Su Piow Ko confirming an additional ₹150 crore allocation over the next three years.
Malaysia-based AET Displays, a manufacturer of LED displays, has completed 50 per cent of its investment target in the Indian LED screen market and plans to invest additional funds of over ₹150 crore, Su Piow Ko, the company's CEO, told Mint in an exclusive interview.
Edited Excerpts:
Q: Can you provide an update on your investment plans in India? There were reports earlier this year about a ₹200 crore investment.
A: We have already invested over ₹100 crore in India. This includes various activities like roadshows and exhibitions, as well as establishing experience centres in cities such as Chennai, Mumbai, and Delhi, and even in Lucknow and Gujarat. We're also setting up an assembly line and warehouse in Chennai and hiring over 60 technical and sales staff.
Looking ahead, we plan to transition from simple assembly to full-scale manufacturing, aiming for a comprehensive assembly line by next year. Over the next three years, we anticipate investing an additional ₹150-200 crore.
Q: What future plans do you have for local manufacturing and sourcing in India?
A: We're committed to increasing local sourcing. Currently, over 60 per cent of our components are sourced locally, including cables, metal structures, and packaging materials. Our goal is to enhance this further, incorporating complex components and R&D in India. This will support our dream of fully Made-in-India products.
We are also exploring partnerships with local firms, particularly in semiconductors, to strengthen the supply chain and reduce reliance on imports.
Q: How many jobs will be created as part of these initiatives?
A: Over the next two to three years, we expect to create around 250-300 jobs, focusing on both manufacturing and R&D roles. We aim to build a skilled workforce to support advanced manufacturing technologies.
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Q: Can you disclose the locations of the upcoming manufacturing units?
A: While the exact locations are still under consideration, we are targeting regions in the South and West of India with robust supply chain access and proximity to ports.
Q: Which international markets are you targeting for exporting AET Displays products?
A: We are focusing on markets in the Middle East, Indonesia, Thailand, Sri Lanka, Latin America, Russia, Europe, the USA and more. Additionally, we are exploring opportunities to collaborate with the US on Trade Agreements. Our overseas sales teams are already working to penetrate these regions.
Q: How have government policies and grants supported your expansion?
A: Government assistance is crucial, especially for medium-sized companies like ours. We are actively engaging with central and state authorities to secure grants and subsidies. With the growing focus on electronics and semiconductor manufacturing in India, we expect favorable policies and additional support in the coming budget.
Q: What are your revenue targets for the next financial year?
A: We aim to achieve ₹250 crore in revenue by 2025-26. For the current financial year ending in March, we expect to hit ₹100 crore.
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Business NewsCompaniesNewsAET Displays to set up manufacturing unit in India; Middle East & US eyed to boost exports, says CEO
First Published:5 Dec 2024, 06:16 PM IST
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