Localised picture tubes to lower 29-inch TV price

Mumbai, Nov 21 | Updated: Nov 22 2005, 05:30am hrs
A significant cut in prices owing to localised production of local picture tubes (LPTs) is soon expected to almost double the demand for 29-inch colour televisions (CTVs), shifting consumption pattern of CTVs on the lines of the Chinese market. Prices of 29-inch CTVs is expected to drop by Rs 3,000 in the first half of 2006, from the existing Rs 17,000-14,000, according to industry estimates.

Samtel Colour Ltd, which currently supplies colour picture tubes (CPTs) to Samsung and LG, the leading CTV manufacturers for 14, 20 and 21-inch flat CTVs, will start commercial production of LPTs for 29-inch flat CTVs in January 2006 in Ghaziabad. The Ghaziabad plant will produce 1.5 million units of LPTs per annum, which will be sourced by the Korean CTV manufacturers for their 29-inch CTVs, who hitherto now, have been importing LPTs from their parent companies. Sourcing from a local partner will help these companies save up to 20% on inventory costs and 15% on import duties. The 29-inch flat CTV market in India, which contributes 3% to the Rs 20,000 crore overall CTV market is expected to contribute 40% by 2010. The new trend will be in sync with the trend in China where the 29-inch CTV market is currently contributing 40% to 30 million CTVs market, said LG Electronics India, head - R&D, Vipin Gupta.