Mobile maker Micromax on Thursday opened a facility near Hyderabad, where besides the phones, LED televisions and lights are to be made. The company has sought support from the Telangana Government for setting up of a research and development centre too. “We want to establish R&D facility here by shifting existing operations from Beijing, China," Co-Founder Rajesh Agarwal said at the inauguration of the Maheshwaram plant, by State IT Minister K.T. Rama Rao.
Bhagwati Products, the manufacturing arm of Micromax, established the plant that can make 10 lakh devices per month, on 20 acres with Rs.100 crore investment. He saw an opportunity in developing Hyderabad as an electronic research and development hub. Electronic manufacturing, he said, was beyond assembling and over the next five years Micromax will get into a full manufacturing mode, enhance the capacity and reduce import content. However, he did not get into the specifics of the support the company wanted and said it was also yet to make a formal proposal to the Government.
Mr.Agarwal, in an interaction with press persons later, said that the company was keen on getting into more consumer electronics products and estimated the investment it was likely to make on manufacturing to be around Rs.2,000 crore in next 5 to 6 years. To a query on the status of Micromax's proposed unit in Tirupati, he said: “We have not yet invested in Tirupati."
The Hyderabad unit, second such for the company - Rudrapur in Uttrakhand hosts the first - will see more investments in coming six months, a time frame within which the company will also recruit 350 more people to take the headcount to 1,000. The next plant is under construction in Rajasthan and entails Rs.500 crore investment. He stated that Micromax sells 2.5 million phones a month, with half of them imported.