LG India aims to trump parent co sales in 3 yrs

Written by Neha Pal | Neha Pal | New Delhi | Updated: Apr 29 2011, 07:48am hrs
LG India, the country's leading consumer electronics company with a market share of 30%, is expecting its Indian operations to overtake its domestic sales in Korea within the next three years on the back of its new marketing and investment plans.

Soon Kwon , managing director, LG Electronics told FE, India contributes about 6% to the global turnover and we expect to double this contribution in the next four years. We also expect the Indian operations to overtake its domestic sales in Korea within the next three years. He said that LG is targeting a turnover of R20,000 crore in the current calendar year compared to 2010. There is a rapid growth in all segments in India, including mobile communication, home appliances, home entertainment, business solutions and air-conditioners and we are planning to double our production capacity on the back of the huge demand of our products, including LG's mobile handsets, LCD and flat screens and air-conditioners.

LG is also focusing on making India one of its main manufacturing hubs apart from Korea, China and Indonesia. We import 10% of our products from outside and 90% are manufactured in India. With a 30% market share of the consumer electronics market, we expect India to become one of our main manufacturing hubs, said Kwon. He further said in order to meet the domestic and exports demand, LG is targeting to expand the production capacities at its plants in Greater Noida and Pune. The company's Greater Noida plant produces televisions, refrigerators and washing machines while the Pune plant manufactures mobile handsets apart from its other products.