Anil Agarwal's $10-Billion LCD Plant to Start Production in 2018
New Delhi: Vedanta group chairman Anil Agarwal's $10-billion LCD screen plant, which is billed as the country's first, will start production in 2018.
"Panel FAB is expected to begin by 2018 with full production over the next 10 years subject to external environment," Mr Agarwal told PTI in an interview.
This will be the largest investment made in setting up of an electronics plant in India.
It will be operated by Twinstar Display Technologies and will not fall under any of the Vedanta group companies' current business ambit.
"The proposed LCD manufacturing unit, the first of its kind in India, will be operated by Twinstar Display Technologies. It is promoted by Volcan Investments Ltd, whose other investments include Vedanta Resources and Sterlite Technologies," he said.
Mr Agarwal along with his family holds a majority stake in Volcan Investments. The company clarified that the LCD plant is Mr Agarwal's personal investment and not part of his Vedanta group.
"We endeavour to make India a significant export hub of display units with the setting up of Panel FAB," he said.
At present, all LCD displays used in mobile phones, TV screens and computers are imported. "India is one of the fastest growing markets for LCD panel based products such as TV, smartphones, tablets, desktops and laptops."
"By 2020, India's LCD panel import bill is expected to touch $10 billion (about Rs 68,000). Panel FAB will not only significantly reduce this but also earn foreign exchange through exports," Mr Agarwal said.
Vedanta had made commitment to set up the LCD plant at the first 'Digital India' week inaugurated by Prime Minister Narendra Modi in July last year.
"We have made good of the promise we made to the nation during Digital India. We are happy to participate in two of the government's key initiatives - the 'Make in India' campaign as well as 'Net Zero Electronics import by 2020'," Mr Agarwal said.
At the event, industry had committed to invest Rs 4.5 lakh crore with a potential to generate 18 lakh jobs.
The LCD firm promoted by Mr Agarwal had signed an agreement with the Maharashtra government for the plant.
"Twinstar will invest $10 billion spread across five phases. The unit will be operated by Twinstar and not Vedanta. The project requires about 300 acres of and two locations have been shortlisted so far," he said.
Sterlite Technologies, one of Volcan's investments, already has an optical fibre manufacturing unit in Aurangabad, Maharashtra.
"Upon completion, the LCD project will provide direct and indirect employment to over 30,000 people, and contribute 7-10 per cent to Maharashtra's Industrial Gross Domestic Product," he added.
While demand for electronic products has been rising in the country, the government's push for local manufacturing has also increased.
The total import of electronics goods during 2012-13, 2013-14 and 2014-15 (estimated) as per figures of Directorate General of Commercial Intelligence and Statistics (DGCIS) were Rs 1.79 lakh crore, Rs 1.95 lakh crore and Rs 2.25 lakh crore, respectively.
The total production of electronic goods based on figures (estimated) provided by electronics industry associations were Rs 1.64 lakh crore, Rs 1.8 lakh crore and Rs 1.9 lakh crore for 2012-13, 2013-14 and 2014-15, respectively.
