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Dell opens first facility in India
By siliconindia
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Thursday, 14 September 2006, 19:30 IST
NEW DELHI: Dell announced that it will open its first India manufacturing facility in Tamil Nadu, India, following completion of a memorandum of understanding (MoU) between the company and state officials.
The MoU was signed by Industry Secretary, Shaktikanta Das, on behalf of the Government of Tamil Nadu, in presence of the Chief Minister of Tamil Nadu, K M Karunanidhi and the Union Minister for Communications & Information Technology, Dayanidhi Maran.
Rajan Anandan, vice-president, Dell (India Sales) signed the MoU on behalf of the Indian subsidiary of Dell, in presence of Paul Henri Ferrand, vice president, Dell (South Asia), amongst other dignitaries.
A company statement said that its new facility and related operations would be located on a 50-acre plot of land in the Sriperumbudur Hi-Tech Park, outside of Chennai.
Earlier this year the company that it would establish a dedicated manufacturing operation in the country. Dell claims there is an increasing customer acceptance for its products in this country, which also happens to be strategically very important for the company. As per the company estimates, its shipments in India have, in the most recent operating quarter, increased 82 percent while revenue has risen 63 percent.
The company expects to begin India manufacturing in the first half of 2007, mainly comprising production of desktop computers, which incidentally make up about 70 percent of its current business in the country.
Speaking at the occasion, Ferrand said, "This MOU benefits both Tamil Nadu and Dell, and we're very appreciative of the cooperation and partnership between the government and our company. The state offers an exceptional work force and unique strategic-investment zone, along with easy proximity to a large base of current and potential Dell customers."
According to Rajan Anandan said, "This operation, in a region increasingly known for its advanced electronics hub, will give us far broader access to both India's dollar- and rupee-based information-technology markets, and we believe more and more customers will be drawn to the advantages of direct relationships with Dell."