Delta Electronics To Increase Investment In India
Delta Electronics (Thailand) Plc announced an expansion of its operations in India, planning to invest about $50 million next year.
Delta Electronics founded the wholly owned subsidiary Delta Energy Systems (India) in 1996 to assemble, market and sell power systems. It later set up Delta Power Solutions India Private Ltd. in 2007 to assemble, market and sell telecom power systems, uninterrupted power supply (UPS) units and other products.
Delta Power Solutions now operates two plants, one in Rudrapur in Uttarakhand state in northern India, making telecom power supplies and UP units, the other in Pondicherry in Tamil Nadu state, making telecom power supplies and magnetic components. The Pondicherry plant is due to start commercial production on Aug 28 with output destined mainly for China. The company states that it is in talks with the central government to look for a site in Chennai to make low-end electronic components to supply the group’s production base in Slovakia.
’’We’ve already invested about 300 million baht in India and are preparing to allocate $50 million more to set up a new plant in Chennai,’’ said Anusorn Muttaraid, the company’s Executive Director.
’’India is a very promising market and its tax incentives are very attractive. Our investments are granted a tax holiday for five years and a 50% tax cut for another five years.’’
Delta Electronics has set an ambitious target to raise its sales in India to top $1 billion over the next seven years.