Konka would hold the majority 51 per cent stake in the joint venture while the remaining 49 per cent holding would be distributed equally among Hotline and Wittis, company sources told UNI here.

Konka intends to make India the headquarters for its Saarc operations. "A manufacturing unit is planned very shortly...Over a period of time, it would feed the markets of Europe and West Asia," the company said in a statement issued here on Wednesday.

The venture would produce televisions, high-end digital audio devices, VCDs, DVDs as well as white goods like refrigerators, washing machines, microwaves and air-conditioners, besides communication products like fax machines, telephone instruments and cellular phones.

In India, the company would commencemarket operations with colour televisions, audio and video systems under the brand name Konka. The products would be launched soon and the process of setting up branch offices and after sales service centres in India would also begin simultaneously, a statement said. As part of the India plan, Konka would set up a research and development centre in order to facilitate quality product development and also to customise the product to suit Indian conditions and customer needs.Konka had recorded an annual turnover of over $1.3 billion in 1998.