RAK Ceramics firms up plans for India fab

Move will allow it to provide products to end customer at lower prices

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By  Eudore Chand Published  November 27, 2004

RAK Ceramics is set to open a new factory in India to fulfil the increased demand for its products across the subcontinent. The manufacturing facility, which will be based in Rajmundry (AP), should be up and running by early March 2005. It will initially employ between 400 and 500 staff and have the capacity to produce 40 000m2 of flooring per day. “The reason we are opening a factory in India is that if you manufacture products elsewhere and export them to India you have to pay duties on the products, which is a cost that unfortunately gets passed onto the customer. However, by producing product locally we will be able to serve the Indian market, in which there is huge demand, more effectively,” says Christopher Sunil, senior area sales manager, RAK Ceramics. In addition to ramping up its operations in India, RAK Ceramics is also adding to its local capabilities by building two more manufacturing plants. When complete in early 2005, the new factories will increase the company’s number of UAE factories to 10. “The two new factories will be open early next year and together they will produce approximately 80 000m2 per day,” says Sunil. RAK Ceramics is now one of the largest ceramics manufacturers in the world. To expand its business yet further, the local firm is targeting an increased number of developing markets. Among those currently topping the list are Iran, Sudan, Bangladesh and China.

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