Though exports are under pressure for the time being, Korean majors like LG and Samsung have successfully married their brand recognition with the cost efficiency of manufacturing in India.
"When people see our logo on any product they are sure of the quality, because they know that we follow the same standards of production, no matter where we manufacture our products," says Jatin Madan, head of LG's exports division.
"Products get acceptance based on the company track-record and its ability to maintain quality levels," says Madan, who expects a record-breaking Rs 600 crore (Rs 6 billion), or 8 per cent of LGEIL's total turnover, to flow from exports this year.
Samsung India, which started its foray into the exports market by shipping off nearly 40,000 TVs two years ago, saw its volumes double to nearly a lakh last year.
"This year, we are also exporting nearly 50,000 refrigerators and will start shipping washing machines as well this festival season," said the company's, deputy MD Ravinder Zutshi.
"Based on our growing competitiveness and the strong acceptance that we have received for our products in CIS and SAARC Countries, we think our volumes will again double next year," Zutshi adds.
While the bulk of these exports still comprise of the rather low-tech Cathode Ray Tube TVs, both plan to take advantage of "India's competitiveness" in other manufacturing other 'high-value' products as well.
