Chinese smartphone maker Vivo has planned for a massive investment of Rs 4,000 crore in India. The investment will be made as part of the Modi government's 'Make in India' initiative.
The company is also expected to set up a new plant using a large part of the capital infusion. The second plant will be constructed close to the existing manufacturing facility at Greater Noida in Uttar Pradesh.
Vivo will become one of the largest company-owned setups in India after the new investment and the company's manufacturing plant in India will be as huge as its other facilities in China.
"This will support our India demand since the existing plant has reached its full capacity. It will also cater to Vivo's global expansion through exports as we are already present in 16 countries globally. The first phase will almost double our current production capacity of 25 million units per annum. We also want to deepen our component manufacturing," Nipun Marya, Vivo India director (brand strategy) told Economic Times.
The new plant will become operational over the next 12-18 months, creating over 5,000 jobs in the first phase, Marya added.
The company will initially invest Rs 800 crore, apart from the land cost. Vivo India has already received 169 acres of land in Greater Noida, where it will set up the new plant close to the existing facility.
Recently, Samsung had opened the world's largest mobile manufacturing plant in Noida to boost its manufacturing capabilities.
Apart from setting up the new plant, Vivo is also localising component manufacture, reducing its import bill to meet the growing demands for smartphones in India.