Nokia SEZ Could Revive By March, Start Manufacturing

Tamil Nadu authorities officers mentioned there’s a scramble for land, or brownfield set-ups, from electronics producers within the state, due to the commerce battle between the US and China.

“Flex, beforehand Flextronics, and one different firm expressed curiosity within the Nokia manufacturing facility, nevertheless it lastly went to Salcomp,” mentioned a senior authorities official.

The event comes almost 5 years after an enormous tax demand shut down one of many largest telephone factories on the earth, in October 2014, that noticed job losses, resulting in a domino impact in manufacturing facility shutdowns within the electronics manufacturing business.

Final week Finnish firm Salcomp, not too long ago acquired by Chinese language agency Lingyi iTech, sealed a deal to purchase the one-million-sq-ft Nokia manufacturing facility contained in the 212-acre SEZ. Salcomp had additionally not too long ago bought the 300,000-sq-ft unit of Lite-on Cell manufacturing facility contained in the particular financial zone.

Taiwanese telephone maker Foxconn, which has an idle unit contained in the SEZ, might also take into account reopening its unit ought to the enterprise case show conducive, an official conscious of Foxconn’s India plans informed ET. Foxconn had not too long ago begun making high-end iPhones from its 160-acre plant outdoors the Nokia Telecom SEZ.

Electronics producers had earlier mentioned the export incentive below the Merchandise Export Incentive Scheme (MEIS) would play a key position in enabling India to get a foothold available in the market birthed by the unfold of producing capacities from China.

Salcomp India managing director Sasikumar Gendham mentioned most firms are adopting a “China Plus One” technique, searching for an additional base past China to help manufacturing. “The benefit for India is its big home market, in comparison with its rivals akin to Vietnam, and we are able to do significantly better by means of a concerted export coverage push to profit from this shift,” he mentioned.

Salcomp India has raised capability throughout its three factories within the nation to 150 million chargers a 12 months, investing Rs 200 crore up to now two years.―Newpaper24