Nearly 75-80% of Acer desktops are made in India with over 50% value added
Nearly 75-80% of Acer desktops are made in India with over 50% value added
Taiwanese PC maker Acer expects growth of about 20% in the Indian market this year, driven by an expected revival in demand from the public sector, a senior company official said Peppystores.
The company also intends to make an aggressive foray into the country’s air purifier segment while expanding its “Made in India” product portfolio.
“The government and public sector have now opened up completely… the focus for the last two years has been on the healthcare segment, be it building infrastructure or vaccinations. Now government spending is also flowing into other sectors, most notably education. We have already seen many states talking about various education projects, so the government and public sector will buy more,” said Sudhir Goel, Chief Business Officer of Acer India Peppystores.
He added that Acer already works with most government agencies.
In 2021, the company posted 45-50% growth over 2020 due to strong consumer demand, even as supply constraints posed a challenge.
“Our estimate is that the market should grow by around 10-15%, but it would be skewed towards government and the public sector…we are better placed to take advantage of that demand and so our growth should be much higher.” be than the industry … We should be around 20%,” he said.
Mr Goel said that while demand in the consumer segment has fallen somewhat, it is still strong as IT companies recruit new staff, new start-ups emerge and home-based education has become the norm. “We’ve seen that in the last month or two, global consumer demand for laptops has decreased. However, demand is still good in India and we believe mainstream notebooks in particular will continue to drive growth this year as there have been severe supply issues over the past six quarters.”
When asked about manufacturing in India, he said that about 75% to 80% of Acer desktops are manufactured in India, with over 50% added value. The tablets are also made in India. He added that the manufacturing process for laptops is a bit more complicated and the company started manufacturing them locally in November last year. “Right now there are two series of laptops being made in India… We should add a few more models this year.”
Speaking of new products the company will launch, he said the company has tested the air purifier market in the country and will make a “serious foray” into the segment. “Air purifiers are a lifestyle product. We believe it is the right time to enter this market. We’re going to be expanding the roadmap on a slightly larger scale…we’ve found that the demand is there for both homes and hospitals.” The company has also done demonstrations for a few hospitals, including Manipal Hospital and Apollo Hospital.
