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NEW DELHI : Swedish home appliances company Electrolux on Tuesday announced the launch of its first experience center in India that also marked the re-entry of the white goods company after it divested its India business in 2005.
Electrolux will introduce a range of solutions for refrigeration, fabric care including washers and dryers, air purification and conditioning, dishwashing, cooking, and vacuum cleaner in a phased manner starting from July through to October 2022, the company said in an announcement. This launch signals the company’s entry into the Indian consumer durables market, via an omni-channel retail approach.
In 2005—Electrolux divested its Indian appliance operation, including three production facilities to Videocon. The agreement involved a license for Videocon with the right to use the Electrolux brand in India for a period of five years, as well as the Kelvinator brand in India and selected markets for an unlimited time. Videocon was subsequently pushed into bankruptcy in India.
On Tuesday Electrolux said that as focus deepens on in-home appliances alongside growing household incomes, the consumer durables industry is expected to witness sustained growth over the next few years. Meanwhile, the pandemic has also shored up demand for household appliances.
India’s consumer durable manufacturers may post a low double-digit compound annual growth rate (CAGR) in revenues over the next decade helped by low penetration of some product categories and stronger brands looking to consolidate their market presence, BNP Paribas said in a report earlier this month.
“India is an ever-evolving market. This launch is the first step towards Electrolux’s aggressive business plans in the country," said Sudhir Patil, commercial director, Electrolux India said.
Currently, Electrolux air conditioners are being produced in India through a partner; the remaining products will be imported from the company’s production facilities in Poland, Italy, Germany and Thailand.
The parent company sells approximately 60 million household products in approximately 120 markets annually through brands such as Electrolux, AEG and Frigidaire.