Aiming to build on the clarion call for ‘Make in India’, BSH- a global joint venture between Bosch and Siemens involved in the manufacturing of consumer durables – now wants to produce products suitable for the Indian market.
In an interaction with Moneycontrol, Gunjan Srivastava, MD and CEO, BSH Household Appliances said that the company is already present in segments like cooking, washing as well as breakfast and food appliances. He added that they will also be entering the small appliance space later this year.
“The aim is to manufacture products that are relevant for the market. For this, we have a Research and Development (R&D) team in Bengaluru with 100 engineers looking for innovations across products,” Srivastava said.
BSH is present across different customer segments through their brands, Bosch, Siemens, and Gaggenau that was recently brought to India. Bosch operates in the mass market segment, Siemens operates in a level above that while Gaggenau targets the super-premium segment.
Srivastava said that the idea is not only to produce closer to the market, but also understand the needs of the market. “From the ideation stage to the product actually being launched in the market could take two to three years, but we will not compromise on the quality,” he added.
BSH has a 40 acre facility in Chennai that is involved in the manufacturing of products. Srivastava agreed that input costs have been on the rise and their endeavour is to make products locally in India.
He added that the impact of goods and services taxes (GST) is also behind them.
“Customers who were earlier postponing purchase decisions of appliances in anticipation of a cut in GST have now started buying. However, price increases may be implemented in the future,” he said.moneycontrol