Fuji Electric eyeing India as production hub for Middle East, Africa
By Atul Ranjan
CHENNAI, NNA - Japanese energy and power electronics maker Fuji Electric Co. is looking to make India a manufacturing hub for the Middle Eastern and African markets as part of its expansion plan in the country.
The Tokyo-based company last week unveiled a strategy aimed at more than doubling its India revenue in five years to 15 billion rupees ($210 million) by the fiscal year ending in March 2024, by leveraging the combined strength of its local subsidiaries.
Fuji Electric has established a strong presence with four manufacturing plants and a pan-Indian sales network, with its recent acquisition of India's leading power electronics manufacturer Consul Neowatt Power Solutions Pvt. Ltd., according to the company.
It announced the acquisition -- to expand its power electronics systems business -- in June.
The new strategy involves integration of its business in India including three group companies -- Fuji Electric India Pvt. Ltd., a sales company established in 2009, Fuji Gemco Pvt. Ltd., an engineering joint venture set up with a local company in 2016, and Consul Neowatt Power Solutions -- Kenzo Sugai, executive vice president of the Japanese company, said during a press conference on Thursday in the southern Indian city of Chennai.
The company also aims to enhance local manufacturing capabilities for faster introduction of products and localization of the entire production process.
According to Sriram Ramakrishnan, managing director of Fuji Electric India, the company will develop uninterruptible power supply systems in India with support from a Japan-based research and development team for exports to the Association of Southeast Asian Nations, Middle East and Africa.
“We have expanded into Africa, and in future we are looking at both Middle East and ASEAN countries to export these products,” Ramakrishnan told NNA during the press conference.
Ramakrishnan said the company now exports to India's neighbors, such as Bangladesh and Sri Lanka.
Meanwhile, the company also said it sees electric vehicle and renewable energy as potential growth areas in the near future.
“In India we are also looking to develop high-powered electric vehicle chargers and launch new solutions for the renewable energy sector,” Ramakrishnan said. “They are part of our future road map in the country.”
Fuji Electric started direct operations in India as a sales company in 2009, and later moved into manufacturing. It has four plants in the cities of Chennai, Pune, Bhiwandi and Faridabad. (NNA/Kyodo)