White goods maker Godrej Appliances will spend about Rs 200 crore to expand its consumer electronics plant at Shirwal in the Satara district.
Kamal Nandi, executive vice-president of Godrej Appliances, said “We will increase the capacity of our Shirwal plant for manufacturing more products in the premium category, both for domestic and commercial purposes. We target to complete the expansion works by the end of 2019. The expected reduction in goods and services tax (GST) rates for electronics will deliver a booster shot for companies like Godrej. In upcoming Union Budget should have consumer incentives for efficient electronics, a term applied for appliances rated 4 and 5 stars by the BEE. Besides bringing the GST rates down in the upcoming meetings, the government should also have provisions in the upcoming Budget to incentivise consumers to buy more efficient products. Since energy norms are being tightened, more investments are needed. Higher rates make affordability a difficult issue for consumers and manufacturers will not recover costs”.