- The company has been planning on deploying its greenfield unit by the financial year 2022 in Andhra Pradesh
- Blue Star intends on increasing its investment on research & design initiatives and new product development
Blue Star, a commercial refrigeration and air conditioner giant, has recently confirmed plans for commissioning its greenfield unit by the financial year 2022, at Sri City in Andhra Pradesh, as revealed by a top official of the company.
B Thiagarajan, joint managing director at Blue Star, mentioned that the construction works at this plant would commence in FY21, with a goal of commissioning the unit by FY22. The firm had purchased the land at Sri City, with the planned installed capacity for the plant being five lakh units a year.
Apparently, throughout its platinum jubilee year in 2018, Blue Star had introduced 75 new models of room air conditioners, that includes energy-efficient inverter ACs assuring 30 percent extra cooling above and over its rated capacity.
During the launch of inverter air conditioners’ new range, Thiagarajan was quoted saying that Blue Star is confident of growing its share in the room AC market from the current 12.8 percent to 13.5 percent by FY20. The company had allegedly registered a revenue of Rs. 4,600 crore in the last fiscal year. Additionally, inverter air conditioners held a majority share, accounting for more than 52 percent of the company’s sales.
Thiagarajan added that Blue Star intends on increasing its investment from Rs. 40 crore in FY19 to Rs. 50 crore in FY20, on research and design initiatives as well as on new product development. The company is also planning to add new exclusive brand stores in the nation, increasing the number from the current 200 to 250 by the end of FY20.
Thiagarajan further said that in terms of order inflow, growth and speed execution, Telangana stands at first position in the nation, as there has been a remarkable growth in that region. Telangana’s market size is close to 2 lakhs this year from the overall total of 55 lakhs across the country, he informed.