Coolpad, which forayed into India last year, is also looking at setting up its research and development (R&D) operations here to cater to the SAARC region. "We have partnered Videocon to assemble our handsets in India. This will help us bring our products faster to our consumers. The plant in Aurangabad has a monthly capacity of 3 lakh units," Coolpad India CEO Syed Tajuddin said.
He added that it will at least be another 1-2 years before full-fledged manufacturing will be done in India. "The target is to produce one million Made in India phones by H1 of 2016. Initially, around 15,000-20,000 devices will be imported from China and rest will be manufactured from India," he said.
Interestingly, Videocon also has its own line of smartphones selling in the Indian market. Asked about the cost benefits of manufacturing in India, Tajuddin said the scale of operations in the country is still not comparable to China.
"However, the costs of manufacturing in China are going up and people are looking at India as the next big destination. Manufacturing in India is giving us about 5-6 per cent benefit which we will pass on to the consumers," he said.
Recently, many international players like Xiaomi, Gionee and Asus have set up assembly units in India. Handset makers are looking to tap the multi-billion dollar opportunity in India, which is one of the fastest growing markets globally.