Electronics Production | June 28, 2007
Incap intensify focus on India
To improve its market position and competitiveness Incap has invested 7 million euro in the modernisation of factories last year. The company now sees new opportunities in India.
"The acquisition of business and starting of production in India, sealed at the end of May, means a great step forward for us. We have found a good partner from India, the large TVS Group, whose contract manufacturing unit and the design operations connected to it were transferred to a part of Incap Corporation at the beginning of June", Juhani Hanninen President and CEO of Incap said. Internationalisation is absolutely necessary for Incap to be able to manage in tight competition. Almost all of its strategic customers are themselves operating globally, and they also require the same from Incap. “It has been inspirational to get familiar with the contract manufacturing market in India. Our current customer base construct their own units in India, and it is be beneficial for us to also offer them local service", Mr Hanninen said. "One milestone in internationalising has now been achieved, and we have enthusiastically begun the actual work; that is, the integration of the Tumkur factory as a part of Incap Group. Finally we can market, in full scale, our manufacturing services to the potential customer base we have already surveyed last year. We estimate that we will achieve a turnover of 8–10 million euros from the Indian operations this year alone" Mr Hanninen said. "In the next few years India will be a remarkable opportunity for us and the growth speed there will be faster than in Finland and Estonia. Because the Indian unit serves local markets, it will not decrease the position of our other factories. Incap is now a stronger entity, in which each unit has an important role in serving international customers. Good customer service, constant development and the exploitation of new possibilities are key phrases in all of our operations", Mr Hanninen concluded.