Electrolux Romania, the domestic arm of the Swedish electrical home appliances producer Electrolux, will next year reach a production capacity of 1.2 million freestanding cookers, with the plant located in Satu Mare to become a regional competence centre.
"We are targeting 1.2 million units each year from 2007. We want to derive annual growth of 25% over the next two years. Whereas in 2005 we manufactured 750,000 units, we want to turn the Satu Mare plant into a ''Competence Centre for Free Standing Cookers'' next year," stated Constantin Nedelcu, manager of the Satu Mare-based Electrolux plant.
Higher production capacity has been one of the main targets for the investments made by the Swedes since they entered the domestic market. The plant currently exports the bulk of its production.
"We invested 5 million euros in 2005, and the volume of production surged by 25% compared with 2004. This year''s investments will be targeted towards the development of new products, a higher production volume and environmental protection," say Electrolux Romania representatives.
The Swedish group had made investments topping 19 million euros for Satu Mare plant by late 2004.
In 2004, Electrolux Romania derived turnover worth around 125 million euros, being one of the main players on the domestic market. The latest data released by the company pointed to 21% turnover growth for the first half of last year.
The other major domestic producer of electrical home appliances, Arctic Gaesti, forecast turnover worth 150 million euros last year, given that the investments made by the Turkish group Arcelik exceeded 27 million euros, according to estimations.
Electrolux was one of the first international players in the domain of electrical home appliances to enter the Romanian market, at the end of 1995, by setting up a Bucharest sales unit.
In December 1997, Electrolux became the majority shareholder in Samus SA from Satu Mare, after it acquired 97% of total stock. In early 2000, the Swedish group bought another stake and now owns more than 99% in Samus.
The Swedish group has transferred to the Satu Mare plant part of the freestanding cooker production activities carried out in other states, such as Italy and Sweden, and their production capacity has doubled in recent years.
ionut.bonoiu@zf.ro
Pentru alte știri, analize, articole și informații din business în timp real urmărește Ziarul Financiar pe WhatsApp Channels
