Samsung, LG plan to double exports

KOLKATA: Korean electronics major LG and Samsung have set ambitious export targets for this year. Samsung India is focussing on countries like Bangladesh, Nepal, Sri Lanka and Bhutan, while LG India is making aggressive inroads into West Asia, Africa, Europe and Latin America.

“In overall terms, we're looking at a 50% jump in our exports this year. In 2005, our export volume was Rs 150 crore. We are looking at 60%, 77% and 170% growth in Bangladesh, Nepal and Sri Lanka, respectively.

Given that India is the hub for Samsung south-west Asia operations, we are supplying colour TVs, refrigerators, washing machines and air-conditioners to these countries from our Noida operations,” R Zutshi, deputy MD, Samsung India told ET.

Samsung India also exports products to Sri Lanka, which is an emerging market, under the Indo-Sri Lanka Free Trade Agreement (ISFTA). The ISFTA, typically, makes exports from India to Sri Lanka very competitive, in light of customs duty benefits. LG, in turn, hopes to double exports this year to $200m from $100m last year.

"We are exploring new markets for our products. South-west Asian nations are always there on our export destinations. In fact, our optical storage devices plant in Pune is set to become our export hub for south-west Asia," said Girish V. Rao, vice-president, Sales, LG India.

Visibility is clearly a key factor for Samsung and LG to shore up exports. In this light, Mr Zutshi said, "We plan to increase visibility in Bhutan and Maldives by opening a Samsung brands shop in these countries in the third quarter this year".

Mr Jatin Madan, who heads exports division at LG India said, "Our strategy is to offer new products to our export markets. Brand shops are a known marketing tool. We have such shops in countries where we operate. If required, we will increase the number of such shops."